Greece’s energy group HELLENiQ ENERGY, through its 100 per cent subsidiary HELLENiQ Renewables, signed a financing framework agreement of an amount of up to 766 million euros with the National Bank of Greece and Eurobank for the implementation of multiple financing arrangements of existing and new projects for electricity generation from Renewable Energy Sources (photovoltaic and wind parks).
The agreement constitutes a benchmark and innovative transaction for the Greek market, being the first standardised financing framework ever concluded by a Greek Corporate group for existing and future RES transactions, as well as one of the largest respective financing arrangements in Europe and a flagship RES financing agreement in Greece.
“The framework agreement is a key step for HELLENiQ Renewables as it will significantly contribute towards the implementation of our strategy for accelerated growth in New Energy and the achievement of our environmental footprint improvement targets,” said the CFO of HELLENIQ ENERGY, Vasilis Tsaitas. “Furthermore, it highlights our commitment to lead the energy transition, while supporting the national effort to meet climate targets. In partnership with NBG and Eurobank, we implemented a financing solution, with very attractive terms, fully aligned with our strategy, considering the most recent developments in the industry business model. The transaction is particularly innovative for the Greek market and at the same time one of the largest long-term financing agreements for RES in Europe.”
The framework agreement sets a unified perimeter of common financing terms for projects that qualify pre-agreed eligibility criteria, covering existing as well as new projects of HELLENiQ ENERGY Group to be implemented in Greece, in various development stages. The generated electricity will be sold through contracts of a wide range of structures (for example, Feed-in Premium, Feed-in Tariff and/or Corporate Power Purchase Agreements).
The key benefits of the framework agreement for HELLENIQ ENERGY include: first, a significant funding capacity, increasing the Group’s growth potential; second, best-in-class terms, largely standardised, enabling speed of execution; and finally, flexible structure, fit-for-purpose for RES, allowing the release of resources to support the rest of the Group’s activities.
The financing framework agreement is thus a key milestone towards the “green” transformation of HELLENiQ ENERGY, contributing substantially to the implementation of its strategic goal of developing a renewable energy portfolio of at least 1 gigawatt (GW) by 2025 and more than 2 GW by 2030.