September 5 (Renewables Now) - German renewable power producer Encavis AG (ETR:CAP) on Wednesday announced the launch of new bonds with a total amount of up to EUR 53 million (USD 58.4m) in a drive to secure funds for solar and onshore wind investments.
The new offering adds to the EUR 97.3 million worth of hybrid convertible bonds issued by Netherlands-based subsidiary Encavis Finance BV in September 2017, increasing the total amount to EUR 150.3 million.
Overall, the move boosts Encavis’ financial firepower to around EUR 170 million and increases its equity ratio to nearly 26% from 24.7% as at June 30, 2019.
Encavis noted that it will use the fresh funds to finance new investments in solar and wind projects, expand its portfolio and for general corporate purposes. According to CFO Christoph Husmann, the company is in an ideal position to further grow in the market of long-term private-sector power purchase agreements (PPAs).
Jefferies International Ltd served as sole global coordinator and sole bookrunner on the transaction. The offering is expected to be settled on September 13, 2019.
(EUR 1.0 = USD 1.102)