Delgaz Grid S.A., the electricity and natural gas distribution company of the E.ON Romania Group, has successfully signed a sustainable refinancing of 3 billion lei, to meet the company’s liquidity needs.
The proposed syndicated loan aims to increase financial flexibility, support the company’s current operational and strategic objectives and stimulate the growth of its Regulated Asset Base (RAB).
The transaction refinances the company’s existing facilities, initially signed in 2023, and extends the initial maturity from three to five years, while ensuring improved terms and conditions. The funds will be used primarily to support the modernization and digitalization of Delgaz’s distribution network, including the implementation of smart metering infrastructure.
These investments are expected to improve grid reliability, reduce power outages and losses, and facilitate the integration of additional renewable energy capacity, thus supporting Romania’s energy transition and its 2030 renewable energy goals.
“This successful refinancing reflects the continued trust of our banking partners in Delgaz Grid’s business model and supports our strategic priorities, including the modernization of energy infrastructure and the contribution to advancing the energy transition in Romania,” said Cristian Secoșan, CEO of Delgaz Grid.
The facilities are structured as sustainable financing, with the price being linked to the achievement of defined performance targets, regarding greenhouse gas emissions, health and safety, and the implementation of smart metering infrastructure, thus reflecting Delgaz’s strong commitment to its sustainability goals.
In this transaction, ING Bank acted as Sole Coordinator, Bookrunner and Sustainability Coordinator, UniCredit acted as Facility Agent, BRD Groupe Société Générale acted as Guarantee Agent, and the law firms Act Legal and CMS provided legal advice to the borrower and the lenders, respectively.
The financing consortium is formed by: Banca Comercială Română S.A., ING Bank N.V. Amsterdam – Bucharest Branch, UniCredit Bank S.A., BRD Groupe Société Générale S.A., Banca Transilvania S.A., European Bank for Reconstruction and Development and Raiffeisen Bank S.A.
Delgaz Grid’s success in obtaining this financial instrument is part of the company’s efforts to efficiently use a portfolio of financing sources as comprehensive and viable as possible, which also includes, relevantly, non-reimbursable financing sources accessed through the Modernisation Fund (MF) and the Connecting Europe Facility (CEF).
In this way, Delgaz Grid maintains its assumed direction in terms of achieving the objectives related to improving performance standards in network operation and, consequently, offering the best possible distribution services to end-user customers, in a new energy environment, in which distribution networks play a decisive role.
