innogy completes new credit line and launches green bonds

innogy has achieved the last step to complete its independent funding structure and to release the link to RWE’s credit line. On 6 October 2017, innogy signed a stand-alone credit agreement of €2 billion. The syndicated credit line has been provided by an international consortium consisting of 22 banks.

Bernhard Günther, Chief Financial Officer of innogy SE, says:

“This transaction constitutes an important milestone for innogy. On the one hand it shows the confidence of our banking partners in a long-term cooperation. On the other hand we are now fully financially independent from RWE.”

The initial term of the credit line is five years (until 2022), with two renewal options after the first and second year and an increase option allowing innogy to access a further €1 billion upon request. The new credit line replaces the existing participation in RWE´s credit line, which was terminated at the same time.

Additionally, On 12 October 2017, Innogy issued its inaugural corporate green bond of €850 million (US$1billion) to refinance wind energy projects in Europe (offshore wind farms in Britain and Germany as well as an onshore wind farm in the Netherlands). The bond has 10-year maturity with the yield-to-maturity arriving at 1.36% per year and an annual coupon of 1.25%

The projects, which are in construction phase or in operation, have a total generation capacity of 3 TWh annually, which is enough to power for about 830,000 households.

Innogy CFO Bernhard Günther said:

“Innogy is a sustainable company by conviction and business model. Setting up a Green Bond Framework and issuing the first benchmark corporate Green Bond in Germany is a logical step to underline this position.”

Furhtermore, the rating agency S&P has upgraded innogy SE in its latest review. S&P now assigns innogy SE a corporate rating of BBB, stable outlook (before BBB-, outlook positive). The short term rating has been upgraded to A-2 (from A-3).

Bernhard Günther, CFO of innogy SE, stated:

“Around a year after the IPO, innogy has already gained a good reputation on the capital market. I am delighted that all of the main rating agencies have given innogy SE a solid Investment Grade rating. With the upgrade announced today, S&P is recognising our financial