ENERCON Agrees New EUR 1 Billion Syndicated Guarantee Facility with Banking Partners

ENERCON has agreed a new syndicated guarantee facility with a volume of EUR 1 billion with its financing partners. In addition, the new syndicated credit facility agreement includes further development options to support the company’s business activities. The initial term of the new facility is three years, with two extension options of one year each.

With the new syndicated credit facility, ENERCON is establishing the financial foundation for its business activities in the coming years. ‘The new syndicated credit facility supports ENERCON’s strategic development and secures the company’s planned growth trajectory’, says ENERCON CFO Dr Michael Jaxy. ‘The newly negotiated volume and improved framework conditions reflect our financing partners’ confidence in our business performance to date and in the long-term prospects of our company.’

At the same time, ENERCON has successfully repaid the final tranche of a loan granted by the German government’s Economic Stabilisation Fund (WSF) ahead of schedule. It had originally been set to mature at the end of 2026. In 2022, the company received this EUR 500 million loan to implement necessary stabilisation measures in response to the impacts of the COVID-19 pandemic.

‘This means that ENERCON’s restructuring has now been successfully completed in formal terms’, says Heiko Janssen, Chairman of the Executive Board of the Aloys Wobben Stiftung (AWS), ENERCON’s sole shareholder. The AWS initiated and led an extensive turnaround process after ENERCON faced an existential crisis in 2019 following the collapse of the onshore wind market. ‘We are pleased that we have successfully completed this challenging process together with the ENERCON Management Board and our financing partners and can now embark on a promising phase of growth.’

The conditions for this are highly favourable, partly thanks to the new syndicated credit facility. With the new agreement, the banking consortium supporting ENERCON will expand from 10 to 11 institutions. The consortium was coordinated by Commerzbank AG and Deutsche Bank AG. KfW also joined the facility through its support programme ‘Hedging Instrument for Transformation Industries.’

‘The fact that we have the continued support of our financing partners from the restructuring phase as well as being able to attract new institutions demonstrates the high level of confidence in our new strategic direction’, says ENERCON CEO Udo Bauer. ‘ENERCON is regarded as a reliable partner with a future-proof business model. This is reflected in our strong upward trajectory, a growing  order intake of nearly EUR 6 billion by the end of 2025, and strong customer interest in our products as a solution provider for the renewable energy ecosystem. Customers and partners recognise that we now deliver far more than just wind turbines and that this strategic repositioning enables us to meet evolving market needs in the best possible way. It is being very well received in the market. Customers and partners understand that connected solutions are becoming increasingly important for the energy transition.’

‘We are pleased to continue our long-standing and trusting partnership with ENERCON through this new syndicated guarantee facility. As coordinating bank, together with our consortium partners, we sought to provide reliable financing solutions for the company’s further strategic development. We have successfully achieved this objective. Structuring the syndicated credit facility as a ‘Green Loan’ reflects ENERCON’s focus on renewable energy and aligns with our approach of reliably supporting transformation processes in the real economy’, says Tim Koenemann, Global Head of the Center of Competence Green Infrastructure Finance at Commerzbank AG.

‘This transaction demonstrates how tailored financing solutions can help companies achieve their strategic objectives in a dynamic market environment. We are pleased to support ENERCON in advancing its growth and transformation strategy with our structuring and financing expertise’, says Nils Wrogemann, Head of Corporate Clients and Spokesperson for the Local Management Board of Deutsche Bank Bremen.

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