Perth-based SSE plc said it successfully launched a dual tranche issue of €1.3 billion in hybrid capital securities, a financial instrument which is subordinate to all senior creditors.

The new securities were four times oversubscribed.

The dual tranche issue comprised a perpetual non-call 5.25 year note at €800 million with a yield of 4.075% and a coupon of 4.0%, and a perpetual non-call 8.0 year note at €500 million with a yield of 4.55% and coupon of 4.5%.

“The intent is to use the proceeds to replace SSE’s £600m hybrid capital security issued in 2020, which has a first coupon reset date of 14 April 2026,” said SSE.

“The three-month issuer par call on this hybrid means it can be called from 14 January 2026.

“Today’s issuance will increase SSE’s total outstanding hybrids by around £500m to £2.4bn – post redemption of the £600m hybrid capital security – and support SSE’s future growth strategy.”

SSE chief financial officer Barry O’Regan said: “SSE is at the heart of the clean energy transition and these new hybrids will contribute towards funding our portfolio of premium investment options as part of our £17.5bn investment plan to March 2027.

“These new hybrids were well received at four times oversubscribed, offering yet another attractive SSE proposition to investors looking to channel finance into green infrastructure.”