Proparco supports Team Telecom Armenia in successful issuance of a landmark Sustainability-Linked Bond to drive innovation and green growth

The bond, available in both US dollars and Armenian drams, has a combined total value of USD 75 million. Proceeds will support Team Telecom Armenia’s strategic priorities, including the expansion of the mobile and fixed networks and refinancing of existing loans.

The bond issuance attracted leading international investors, as anchor investors, including the Asian Development Bank (ADB), the European Bank for Reconstruction and Development (EBRD), and the International Finance Corporation (IFC) alongside Proparco. Proparco’s involvement further reinforces its commitment to overcoming market constraints in Armenia and developing critical infrastructure in high-priority sectors. Ameriabank, a leading Armenian financial and technological institution, was lead manager and arranger for the Sustainability-Linked Bonds.

This marks a milestone as Proparco’s first bond issuance within Armenia's telecom sector. The bond’s advanced structure as a Sustainability-Linked Bond (SLB) features pricing adjustments tied to achieving greenhouse gas (GHG) emission reduction targets. By linking financial terms to sustainability goals, this issuance sets a precedent in Armenia’s capital markets and underscores innovative approaches to financing. In addition to funding key infrastructure projects, the initiative addresses connectivity gaps in underserved rural areas, paving the way for inclusive digital access across Armenia.

Hayk Yesayan, General Director of Team Telecom Armenia, emphasized the transformative potential of this initiative: “This bond issuance marks a pivotal step in modernizing Armenia’s telecommunications landscape and advancing toward a responsible, sustainable digital future. It is both an investment opportunity and a means to support the country’s telecom sector development.”

Jean-Baptiste Sabatie, deputy CEO of Proparco, emphasized the broader significance, stating, “This sustainability-linked bond issuance reflects Proparco’s commitment to promoting innovative financings for sustainable development and building vital infrastructure. Mobilizing private capital through financial markets and advancing the digital sector are central priorities for Proparco. We are proud to collaborate with Team Telecom Armenia to enhance connectivity, especially in Armenia's rural regions.”

Aligned with the bond issuance, Team Telecom Armenia has implemented a comprehensive Environmental & Social Management System that meets international standards. Over the past two years, these efforts have significantly reduced the company’s environmental impact. As part of its sustainability goals, the company aims to reduce GHG emissions by 40% by 2029.
This significant milestone signals Team Telecom Armenia’s unwavering commitment to innovation, sustainability, and inclusive growth, laying the foundation for a greener and more connected Armenia.

About Team Telecom Armenia.
Telecom Armenia OJSC (The brand - Team Telecom Armenia) is an Armenian company, with a leading position in the field of telecommunications and cutting-edge technologies in the country. Being the successor of the first telecommunication network in Armenia, the company has a 100-year history of providing services in the sphere. Due to combining rich experience and advanced technologies, Team provides reliable and innovative services to both individual and corporate customers.
The company provides mobile and fixed Internet services, digital television, mobile and fixed telephone communication services in the territory of the Republic of Armenia. Telecom Armenia OJSC is the first telecommunications company in Armenia to conduct an initial public offering (IPO), becoming even more open and public. The company's shares are listed on the Armenian Stock Exchange.