EnBW issues bonds in Australia for the first time

Karlsruhe. EnBW today successfully issued its first bonds on the Australian capital market. The AUD 1 billion (approximately EUR 616 million) bond issue consists of two tranches with maturities of five and ten years. In the run-up to the issue during last summer, EnBW engaged in intensive dialogue with mostly Australian and Asian institutional investors.

The bonds issued today are green bonds, which means that the proceeds will be used to finance climate-friendly projects in accordance with the EU Taxonomy and the EnBW Green Financing Framework.

EnBW deputy CEO and CFO Thomas Kusterer: “We are currently in the middle of building the carbon-free energy infrastructure of the future. This is why the vast majority of our investment is also in the green transformation of our portfolio. And we are making good progress here. We currently have around 1.5 GW of renewable energy under construction, not to mention the accompanying grid expansion. The successful issue shows that Australian and Asian investors, too, reward our integrated portfolio approach along the entire energy value chain.”

“I am delighted that the first bond issue under the new AMTN program has been so successful,” said Marcel Münch, SVP Finance, M&A and Investor Relations. “We welcome the further diversification of our investor base and our markets, especially in view of the high level of financing required for the implementation of the energy transition. Further transactions are now possible in the future.”

The bonds already serve as a source of funding for the 2025 financial year. The capital market financing planned for 2024 was already implemented by the middle of this year. This first issue on the Australian market achieved coupons of 5.302% respectively 6.048%. Converted into euros, this financing is in line with the terms that EnBW generally achieves for bond issues on the euro market.

EnBW has established an Australian Medium Term Notes (AMTN) program specifically for debt issues in Australia. Alongside the existing Euro Medium Term Notes (EMTN) program, this comprises a second framework for issuing bonds, thus giving the company even greater flexibility.

About Energie Baden-Württemberg AG
With a workforce of over 28,000 employees, EnBW is one of the largest energy supply companies in Germany and Europe. It supplies electricity, gas and water together with infrastructure and energy-related products and services to around 5.5 million customers. In the company’s transformation from a traditional energy provider to a sustainable infrastructure group, the expansion of renewable energy sources and of the distribution and transportation grids for electricity and gas are cornerstones of EnBW’s growth strategy and the focus of its investment spending. EnBW plans gross investment of €40 billion by 2030, around 90 percent of which will be in Germany. EnBW aims for renewables to account for over half of its generation portfolio by as early as the end of 2025 and to phase out coal by the end of 2028. These are key milestones on the way to company’s carbon neutrality by 2035. www.enbw.com