EnBW Energie Baden Württemberg : implements first ECA financing for German electricity grid

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| Press Release EnBW implements first ECA financing for German electricity grid | Download image €500 million loan to finance the major project SuedLink Bank consortium comprising Crédit Agricole CIB, HSBC, and ING Backed by the Danish export credit agency EIFO Download image Karlsruhe. As one of the largest integrated energy companies in Germany and Europe, EnBW is consistently driving forward the transformation of the energy system. This includes securing financing for growth projects associated with this transition. In this context the company has now taken out a €500 million long-term loan which will be used for SuedLink, one of the largest energy transition projects currently under construction. As the most significant construction project in the German transmission grid, SuedLink thus plays a key role in Germany's future energy infrastructure. The loan is being granted by an international banking consortium consisting of Crédit Agricole CIB, HSBC, and ING. The financing is secured by a guarantee from the Danish export credit agency EIFO. Marcel Münch, SVP of Finance, M&A, and Investor Relations at EnBW: "With this transaction, EnBW is the first company to implement an export credit agency-backed, so-called ECA financing for investments in the German electricity grid. We are once again breaking new ground in financing the transformation of the energy sector in Germany. The €500 million loan represents another key element in EnBW's long-term financing strategy. In light of the continued high investment needs in grid infrastructure, this step allows us to further diversify our financing portfolio and secure attractive long-term conditions." With a length of approximately 700 kilometers, SuedLink is a high-voltage direct-current (HVDC) connection and is considered a key infrastructure project for a secure and stable electricity supply in the future. The southern section is being implemented by EnBW's subsidiary TransnetBW. The line comprises two HVDC transmission links that transport electricity from northern Germany to Bavaria and Baden-Württemberg. TransnetBW and TenneT Germany are implementing the project jointly. Construction has begun in all six participating federal states, with completion scheduled for the end of 2028. The loan has a tenor of 18 years and will be amortized over that period. The EIFO guarantee covers 95 percent of the outstand...

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