Oficea, a Mauritius-based real estate company, has raised MUR3.4 billion through a sustainable bond issuance, in a transaction that marks one of the largest sustainable finance deals in Mauritius and underscores growing investor appetite for environmentally focused projects across African capital markets.
MCB Capital Markets (MCBCM), which advised Oficea on the transaction, said the bond was 1.5 times oversubscribed, attracting institutional investors including banks, insurance companies, and pension funds.
The issuance was completed under ER Group’s Sustainable Finance Framework and received an A rating from CARE Ratings.
The proceeds will be used to refinance existing debt and finance The Grid, Oficea’s new office development in Telfair, Moka, which is targeting LEED Building Design and Construction certification.
The transaction forms part of Oficea’s strategy to increase the proportion of green-certified buildings in its portfolio to more than 70 percent by 2030.
Johan Pilot, CEO of ER Property, said the issuance reflects the group’s broader strategy of integrating sustainability into the development and management of its real estate assets.
‘Our goal is to make environmental performance an integral part of our real estate decisions, while continuing to provide high-quality workplaces for the businesses we serve,’ Pilot said.
Oficea plans to progressively pursue LEED Operations and Maintenance certification for existing buildings, while new developments will be designed in line with LEED BD+C standards.
The strategy covers energy efficiency, water management, renewable energy deployment, carbon emissions reduction and indoor environmental quality.
Oficea has already installed photovoltaic systems across several properties, with solar generation currently meeting about 30 percent of electricity requirements in some buildings.
MCBCM also advised ER Group in developing its Sustainable Finance Framework in line with International Capital Market Association principles.
Rony Lam, CEO of MCB Capital Markets, said the transaction demonstrated the ability of sustainable finance to support the transformation of property businesses while highlighting the growing maturity of Mauritius’ capital markets.
The transaction received support from FSD Africa, which funded a Second Party Opinion by Moody’s on the sustainability framework.
Evans Osano, chief financial markets officer at FSD Africa, said the deal demonstrated that Africa’s real estate sector can access sustainable finance at scale and could provide a precedent for other issuers seeking capital linked to measurable sustainability outcomes.