The European Investment Bank (EIB) and Enel Green Power International BV, the financial and controlling holding company of international subsidiaries of the Enel Green Power Group, have closed a financing operation for 200 million euros to partially cover investments for some wind farms in the Banat and Dobrogea regions of Romania.
The 15-year loan has a pre-repayment grace period of up to two and a half years, bears economic conditions which are competitive with the market benchmark and is secured by a parent company guarantee issued, at the request of Enel Green Power S.p.A. (“Enel Green Power”), by Enel S.p.A. The issue of the guarantee is exempt from the Procedure for transactions with related parties adopted by Enel Green Power, as a regular transaction of major importance at market-equivalent or standard terms. The terms of the guarantee are in line with those generally granted by Enel Green Power to leading banks for loans of similar amount and maturity.
This operation, together with the total of 600 million euros in funding agreements from the last three years is a sign of the confidence that the EIB has in the Enel Green Power Group’s investments in the sector.
For the EIB, the operation falls under one of its priority areas for intervention, i.e. financing projects in the energy sector that stimulate increased generation from renewables.
Enel Green Power’s growth strategy (enel.com) is built upon financing projects with the cash flows generated along with using outside sources only at competitive costs, when dealing with long-term projects, and when combining forces with reliable partners.