Money
Post Market Wrap | Fortescue raises US$1.5b, including US$800m Green Bonds
This Post Market Wrap is presented by KOSEC – Kodari Securities
- Proceeds (US$700M) to fund Iron Bridge magnetite project & (US$800M) to fund Eligible Green Projects.
- Green Bonds provide investors with same security, liquidity and credit risk as corporate bonds.
- Green Bonds are used to finance renewable energy, pollution prevention, land management, clean transportation and wastewater management projects.
- Global banks, mutual funds and pension funds seeking to meet their corporate social responsibility obligations to their constituents, are among Green Bond investors.
Fortescue Metals Group Ltd (‘Fortescue‘ or the ‘Group‘) is Australia’s third-largest iron ore producer, conducting its operations in the Pilbara region of Western Australia, from three mining hubs that are supported by fully integrated rail and seaport facilities located at Port Headland. These facilities are complemented by a tug fleet and eight purpose-built 260,000 tonne capacity Fortescue Ore Carriers.
The Group has recently embarked on a decarbonisation strategy and is progressing to become an integrated player in the renewables and green resources sector, on a global scale. It is currently developing a global portfolio of renewable energy and green hydrogen projects. The strategy seeks to use 100 percent renewable energy to produce green electricity, green hydrogen, green ammonia and other green industrial products, to de-carbonise the steel, power generation and transport industries. This strategy is in support of Fortescue’s stated intention to achieve carbon neutrality in its own operations by 2030 and in its customers’ operations by 2040.
US$1500 million Corporate Bond Offering
Fortescue has raised US$1500 million across two tranches to fund its ongoing growth initiatives, including the Iron Bridge growth project and its Eligible Green Projects. One tranche of the bond issue, for US$800 million, are Green Bonds. The remaining US$700 million tranche are senior corporate bonds. The Green Bonds have a ten-year term and pay an interest rate of 6.125 percent while the remaining bond tranche has an eight-year term and will pay 5.875 percent per annum. The issue was launched by Fortescue on 6 April and closed fully subscribed on the following day.
The senior corporate bonds will be applied to Fortescue’s Iron Bridge project, which will be one of the world’s most efficient and technologically advanced magnetite producers. Magnetite is an essential component for steel manufacture. The Green Bonds will be used to finance Fortescue’s Eligible Green Projects. These projects are outlined in the Group’s Sustainability Financing Framework, which describes Fortescue’s decarbonisation initiatives. These include renewable energy, energy efficiency, storage, clean sea and coastal freight transport initiatives. One such initiative is the 150MW solar generation component of the Pilbara Energy Connect Project.
What are Green Bonds?
Green Bonds are identical to corporate bonds in that they are backed by the Issuer’s entire balance sheet and are priced accordingly. This is a significant point because it ensures that a Green Bond provides investors with the same security, liquidity and credit risk, meaning they offer similar yields, credit ratings and return profiles, to other fixed income investments. The only difference is Green Bonds fund projects that are making a tangible and measurable impact in the effort to address the environmental challenges brought on by the effect of climate change. Green bonds are commonly used to finance energy efficiency projects, renewable energy. pollution prevention and control projects, natural resources and land management projects, clean transportation projects and wastewater and water management projects.
This is the investor appeal of Green Bonds to institutional investors including banks, mutual funds, pension funds, and some hedge funds, seeking to meet their corporate social responsibility obligations to their constituents.
Looking Ahead
The significance of this successful bond issuance program is that it demonstrates the continuing institutional investor support for Fortescue’s decarbonisation strategy.
This investor support combined with Fortescue’s strong balance sheet leaves the Group well placed to rapidly advance its portfolio of green energy projects and decarbonisation technologies that benefit shareholders as well as the planet.
This Post Market Wrap is presented by Kodari Securities, written by Michael Kodari, CEO at KOSEC.
Money
North Korean hackers steal $2 billion in crypto
North Korean hackers steal over $2 billion in cryptocurrency, marking the largest annual total in history
North Korean hackers steal over $2 billion in cryptocurrency, marking the largest annual total in history
– North Korean hackers stole over $2 billion in cryptocurrency in 2025, nearly tripling last year’s total.
– A shift to social engineering tactics has led to increased targeting of high-net-worth individuals for cyber attacks.
A significant portion of the 2025 theft is attributed to the February hack of cryptocurrency exchange Bybit, which amounted to $1.46 billion.
The FBI has linked this breach to state-sponsored North Korean hackers, who exploited weaknesses in Bybit’s wallet management system. More than 30 additional cyber attacks have also been associated with North Korea this year, including notable breaches at LND.fi and WOO X.
Shift In Tactics
A shift in methodology among North Korean hackers has been observed, as they now focus on social engineering rather than technical exploits. According to Elliptic, the primary vulnerability lies with individuals rather than technology.
High-net-worth individuals and corporate executives are increasingly targeted due to their relatively weaker security measures.
The hackers utilise deceptive tactics, including phishing schemes and fake job offers, to access private cryptocurrency wallets. Intelligence reports suggest that the stolen funds are used to finance North Korea’s nuclear programmes.
The regime has also improved its money laundering techniques by employing various cryptocurrencies and mixing methods to obscure fund origins. Blockchain analysts are actively tracking these stolen assets, with notable progress achieved in identifying recoverable funds.
Money
Gold prices soar to $4,000 an ounce milestone
Gold prices soar to $4,000 an ounce amid investor panic over dollar weakness and economic uncertainty
Gold prices soar to $4,000 an ounce amid investor panic over dollar weakness and economic uncertainty
– Gold prices reached $4,000 per ounce due to a declining dollar and economic uncertainties.
– Investors are advised to be cautious as prices near $4,000 may lead to potential market corrections.
Prices have risen about 50% this year, influenced by a 10% drop in the U.S. dollar index and shifts in trade policies under President Donald Trump.
Central banks and retail investors are increasingly purchasing gold.
Countries like China are moving away from U.S. Treasurys after significant sanctions imposed on Russia due to the Ukraine invasion in 2022. Retail investors desire protection from inflation.
The surge in gold prices followed the Federal Reserve’s interest rate cut in September, making short-term debt instruments less appealing. The expectation is for two further rate reductions by year-end, with the Fed’s next meeting scheduled for October 29.
Market Caution
Bank of America has recommended a cautious approach towards gold as prices near $4,000, warning of potential “uptrend exhaustion” that could result in a market correction in the fourth quarter.
Investors should remain vigilant regarding gold investments, as potential price consolidations may occur.
Money
International brands adapt strategies to reach Chinese consumers
International brands adapt strategies to engage Chinese consumers through localisation, data insights, and cultural integration amidst market challenges
International brands adapt strategies to engage Chinese consumers through localisation, data insights, and cultural integration amidst market challenges
– U.S. and European brands are refining strategies to engage Chinese consumers despite economic slowdown.
– Localisation and consumer data are crucial for successful market entry and product development in China.
The nation remains an enticing market, prompting companies to innovate amid rising local competition.Kraft Heinz, for example, has enlisted a local agency to enhance its ketchup sales, utilising promotional campaigns that resonate culturally, such as marketing ketchup in stir-fried egg dishes. Competition in this market is dynamic, with shifts in consumer behaviour evident over time.
Brands, including Starbucks and Lululemon, demonstrate that successful entry often hinges on localisation.
Effective international marketing strategies dedicate significant resources to content-first campaigns, tailoring products to local preferences. Under Armour’s approach features affordable product lines and community-building through livestreams.
Foreign investment remains robust in China’s evolving market, with brands adapting to new social commerce norms exemplified by platforms like Douyin. The shift presents unique challenges requiring comprehensive strategies, which can quickly yield substantial sales benefits.
Data Utilisation
Access to consumer data is critical for brands navigating the Chinese market. E-commerce platforms like Alibaba provide detailed consumer insights, allowing companies to innovate based on market needs. An example is Perfect Diary, a makeup brand, which successfully developed targeted products for price-sensitive consumers.
With the recent iPhone 17 launch, JD.com reported strong preorder volumes, highlighting the relevance of tailored features in attracting local interest. Companies that establish local R&D facilities gain a competitive edge by developing products that align with local tastes swiftly.
Cultural engagement is paramount for brands aiming to resonate with Chinese consumers.
Collaborations with local artisans signify a deeper cultural integration. Despite market challenges, innovative store designs, like LVMH’s new Shanghai location, reflect a blend of heritage and modern consumer values.
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