UpEnergy World Bank SC Cookstove Carbon outcome bond

Terms

Announced

12 Dec 2025

Instrument

Debt · Outcome bondA bond whose return is linked to the credits the project delivers.

Amount

US$30.5mReported as US$30.5m distributed

Source

worldbank.org

Parties

Project developer

UpEnergy Group

Country

Multiple (Sub-Saharan Africa)

Capital providers

Capital providers and the amount counted for each

Party	Role	Amount	Basis
Velliv	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Legal & General	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Nuveen	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Mackenzie Investments	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Skandia	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Rathbones	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
RBC BlueBay Asset Management	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
ZEP-RE	Bond investor	US$3.39m	Estimated: an even share, 1 of 9
Fidelity International	Bond investor	US$3.39m	Estimated: an even share, 1 of 9

Arranged by

Arrangers and what each arranged

Party	Role	Arranged	Basis
Standard Chartered	Arranger	US$30.5m	Sole arranger: the whole transaction

Carbon

Pathway

Cookstoves

Project type as recorded

Other

Backed by offtakes from

• KliK Foundation

What happened

US$30.5m mobilised to UpEnergy from a US$200m World Bank (IBRD) outcome bond arranged by Standard Chartered, priced 5 December 2025 and maturing 31 March 2032. Bond investors give up part of their coupon and the foregone amount is directed to UpEnergy's clean cooking projects in Ghana, which are to distribute 415,000 cleaner cooking devices (245,000 electric and 170,000 improved biomass). The KliK Foundation has committed to purchase the credits under an Article 6.2 offtake, on terms the parties have not disclosed.

Kumo note

This outcome bond is for US$30.5m disbursed in four milestones. The investor takes carbon delivery risk on the upside, 1.093% rising to about 4.282% if the credits are delivered (hence the outcome bond nature), while principal stays protected by the issuer's rating. The KliK Foundation's Article 6.2 offtake sits behind the carbon-linked coupon, on terms the parties have chosen not to publish. Worth reading beside the Spekboom restoration bond and Mombak ARR bond of April 2026, which runs the same structure for a different pathway. (also both World Bank issuers)

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