Oficea, the office property subsidiary of Mauritius-based ENL Property and part of the diversified ENL Group, has raised MUR3.4 billion ($71.43 million) through a sustainability-linked bond, securing one of the largest sustainable finance transactions in Mauritius as it accelerates the transition of its office portfolio toward greener buildings.

The issuance, completed under ENL Group’s Sustainable Finance Framework, was 1.5 times oversubscribed and attracted institutional investors including banks, insurance companies and pension funds. The transaction, marking the first transaction completed under ER Group’s Sustainable Finance Framework, ranks among the largest sustainable finance deals completed in Mauritius and is among the larger sustainability-linked bond issuances in Africa.

Bond proceeds to support Oficea’s property portfolio

The proceeds will be used to refinance existing debt and finance The Grid, a new office development in Telfair, Moka, which is targeting LEED Building Design and Construction certification.

Oficea aims to have more than 70% of its buildings green-certified by 2030. Existing properties will progressively pursue LEED Operations & Maintenance certification, while new developments will be designed in line with LEED BD+C standards.

The company’s sustainability strategy focuses on energy efficiency, water conservation, renewable energy, carbon emissions reduction and improved indoor environmental quality.

Oficea is also expanding photovoltaic installations across its portfolio, with several buildings already equipped with solar systems that meet approximately 30% of their electricity requirements.

MCB Capital Markets advises on landmark issuance

MCB Capital Markets, the Investment Banking, Asset Management and Principal Investment arm of MCB Group, advised ER Group on the development of its Sustainable Finance Framework and Oficea on the structuring and issuance of the bond.

The framework is aligned with international best practices, including the principles of the International Capital Market Association.

Rony Lam, CEO of MCB Capital Markets, said the transaction demonstrates how sustainable finance can support the transition of property businesses while highlighting the growing maturity of Mauritius’ capital markets.

The transaction also received support from FSD Africa, a UK government-funded development agency, which financed the Second Party Opinion provided by Moody’s.

Oficea expands sustainable office portfolio

Oficea develops and manages a portfolio of over 65,000 sqm of office space in Moka, across several business districts, including Vivéa Business Park, Telfair and Bagatelle, in Mauritius. A leading office provider in Moka, Oficea is ER Property’s dedicated office brand.

ER Property is a subsidiary of ER Group, one of Mauritius’ largest listed groups. Today, Oficea’s portfolio is home to more than 120 companies and 6,500 professionals, with its properties focused on Grade A office space and sustainability standards including LEED certification. Oficea is the dedicated office brand of ER Property, a subsidiary of ER Group, one of Mauritius’ largest listed groups.

The MUR3.4 billion ($71.43 million) issuance adds to the growing use of sustainable finance by African companies to fund projects linked to measurable environmental targets, while providing Oficea with financing to expand and upgrade its property portfolio.