HA Sustainable Infrastructure Capital, Inc. (NYSE: HASI) Redeems \$450 Million of 8.000% Senior Notes Due 2027

Key Highlights

• Full Redemption of Notes: HA Sustainable Infrastructure Capital, Inc. (“the Company”) has redeemed all \$450 million outstanding principal amount of its 8.000% senior notes due 2027.
• Refinancing with Green Notes: The redemption was funded using proceeds from the Company’s recent issuances of \$600 million aggregate principal amount of 7.125% green junior subordinated notes due 2056 and \$400 million aggregate principal amount of 6.000% green senior unsecured notes due 2036.
• Strategic Capital Management: This transaction demonstrates proactive debt management, extending debt maturities and lowering the Company’s cost of capital.
• Commitment to Sustainability: Both new note offerings are designated as green bonds, aligning with the Company’s ESG and sustainability objectives.

Details of the Transaction

On March 3, 2026, HA Sustainable Infrastructure Capital, Inc. executed a major refinancing move by redeeming the entirety of its \$450 million 8.000% senior notes due 2027. The redemption was made possible through the utilization of funds from two recent, large-scale green bond issuances:

• \$600 million of 7.125% Green Junior Subordinated Notes due 2056: These notes, with their extended maturity, provide the Company with a long-term, fixed-cost capital base that supports its sustainability initiatives and growth plans.
• \$400 million of 6.000% Green Senior Unsecured Notes due 2036: Issued at a lower coupon than the redeemed notes, these notes will help the Company reduce its annual interest expenses and further align its capital structure with market sustainability trends.

The combined \$1 billion raised from these green note offerings underscores the Company’s access to capital markets and investor confidence in its business model and sustainability focus.

Implications for Shareholders

• Interest Expense Reduction: The refinancing replaces higher-cost 8.000% debt with lower-cost notes (6.000% and 7.125%), which is expected to reduce overall interest expenses and improve net income over time.
• Balance Sheet Strengthening: By extending the maturity profile of its debt (out to 2036 and 2056), the Company enhances its financial flexibility and liquidity position, reducing refinancing risks in the near term.
• ESG and Market Positioning: The use of green bonds positions the Company as a leader in sustainable infrastructure finance, potentially attracting ESG-focused investors and supporting share valuation.
• Potential Share Price Impact: The improved capital structure, lower interest expenses, and strong market execution may be positively received by equity investors, potentially supporting HASI’s share price. However, market reaction will depend on further details such as the redemption premium, if any, and ongoing operating performance.

Additional Corporate Information

• Company Name: HA Sustainable Infrastructure Capital, Inc. (formerly Hannon Armstrong Sustainable Infrastructure Capital, Inc.)
• Headquarters: One Park Place, Suite 200, Annapolis, Maryland 21401
• Trading Symbol: HASI
• Stock Exchange: New York Stock Exchange (NYSE)
• Business Focus: Sustainable infrastructure investments and financing
• Contact: (410) 571-9860

Conclusion

The full redemption of \$450 million in high-coupon senior notes, funded by successful green bond issuances, marks a significant strategic development for HA Sustainable Infrastructure Capital, Inc. This move will likely be seen as a positive by shareholders and the broader investment community, reflecting the Company’s commitment to lowering its cost of capital, enhancing its sustainability profile, and strengthening its financial position for future growth.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and consult with their financial advisors before making investment decisions. While every effort has been made to ensure the accuracy of the information, no guarantee is made regarding its completeness or timeliness. The author and publisher are not responsible for any losses arising from reliance on this information.

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