Statkraft, a renewable energy company, secured a €1.3 billion (~$1.43 billion) 5-year sustainability-linked syndicated revolving credit facility with two 1-year extension options.
The facility replaces the existing syndicated revolving credit facility of NOK9.2 billion (~$1.06 billion), signed in June 2016, Statkraft said.
DNB served as Sustainability Coordinator, Mandated Lead Arrangers, and Bookrunners. BNP Paribas as Documentation Agent, Mandated Lead Arrangers, and Bookrunners of the facility, which is also supported by the group of banks committing as Mandated Lead Arrangers and Bookrunners: Barclays Bank, Danske Bank, Handelsbanken, Nordea, Santander, SMBC, Societe Generale and UniCredit, and SEB also served a Facility Agent.
The facility’s interest margin will be adjusted (premium or discount) based on Statkraft’s performance on three pre-defined strategic sustainability targets annually.
“Statkraft is very pleased with the agreement, with terms reflecting the strong trust and long-term relationship with our core banks. We are committed to a sustainable and responsible business conduct, and continuously seeking to improve the way we do things. As Europe’s largest supplier of renewable energy, we of course want to support our growth strategy by committing to sustainability targets through this facility,” says Anne Harris, CFO of Statkraft.
According to Mercom’s 2021 Solar Funding and M&A report, in 2021, announced debt financing came to $15.8 billion, a 91% increase compared to $8.3 billion raised during 2020. Record securitization activity was a key contributor to the rise in debt financing activity during 2021, with $3.7 billion in 13 deals.
In September 2021, Statkraft, had signed an agreement with ‘The Renewables Infrastructure Group’ (TRIG) to sell its portfolio of four co-located solar projects with a 234 MW cumulative capacity in Cadiz, Southern Spain. With this acquisition, Statkraft gained access to a 6 GW pipeline (gross) in Europe and South America that, combined with Statkraft’s current project portfolio, positioned the company as a leading developer in the European solar market.