Iberdrola signs new EUR 500 million secured green loan with Citi and Eksfin

Iberdrola strengthens its liquidity position with a new EUR 500 million green loan granted by Citi and partially guaranteed by the Norwegian Export Credit Agency (Eksfin). This is the first loan guaranteed by Eksfin to a Spanish energy company. The loan, with an average maturity of nine years, allows Iberdrola to extend the duration of its debt at a competitive price and is part of the company's financing strategy to diversify its debt structure.  

The funds are intended to be used for the construction and development of the East Anglia Three offshore wind farm. This farm will have a capacity of 1,400 megawatts (MW), enough to supply 1.3 million homes with clean energy, more than the populations of Liverpool and Glasgow combined. In addition to very advantageous long-term terms, the loan has a 24-month drawdown period, providing the Group with liquidity. This will increase Iberdrola's cushion, which at the end of the first quarter stood at more than €21 billion.   

The transaction strengthens Iberdrola's relationship with its Norwegian partners. Iberdrola is actively involved in offshore wind development in Norway with TotalEnergies and Norsk Havvind. 

Iberdrola also has a strategic alliance with the Norwegian sovereign wealth fund, managed by Norges Bank Investment Management, to co-invest in 1,265 MW of new renewable capacity in Spain - 20% wind and 80% photovoltaic - and is working on an additional 500 MW for the Iberian Peninsula. In turn, the sovereign wealth fund is one of Iberdrola's main shareholders, with a stake of more than 3% for more than seven years.   

Eksfin is the Norwegian Export Agency, a public agency with a triple A rating, the highest possible credit rating according to credit rating agencies.  The entity performs functions equivalent to the Spanish Cesce, which has already backed a 500 million euro loan for Iberdrola, and the Danish EKF, which guaranteed a 1 billion euro loan for the energy company.

Thus, the total amount of Iberdrola's loans under the shield of an Export Credit Agency (ECA) stands at 2 billion euros. These entities exclusively manage credit and investment insurance on behalf of states, covering political, commercial and extraordinary risks associated with internationalisation.

This loan contributes to diversifying Iberdrola's financing, which is able to combine various sources: financial institutions, development banks such as the World Bank or the European Investment Bank (EIB) - last June, Iberdrola signed a loan for 1,000 million euros with the entity -, the market - at the beginning of July it placed bonds for 850 million euros at 10 years - and state agencies for the promotion of exports, which reduce or eliminate the risk of operations. 

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