Debt
Group Debt Structure (Actual figures as of 30 June 2020)
New financial strategy completed: move from Project Financing to corporate/DCM financing with sustainable footprint
(1) ERG S.p.A. owns all the operating assets through ERG Power Generation S.p.A., a 100% owned operating subsidiary, free of debt and in cash pooling with ERG S.p.A.
(2) Figures does not include the Euro 500M Green Bond Sept 2020
(2) Figures does not include the Euro 500M Green Bond Sept 2020
Financial Policy

Conservative financial policy focused on:
- consolidated Net debt / EBITDA to be less than 3.0x
- limited maintenance capex offering the flexibility to deleverage quickly when necessary (e.g. 2017)
- maintaining a solid liquidity profile with an average of above €700m in the last three years
Prudent financial policy coupled with sizeable bulk of liquidity
(1) Liquidity is equal to the following components of the Net Financial Position: (i) short-term banking liabilities (ii) cash and cash equivalent
Key Credit Ratios
2017 | 2018 | 2019 | |
---|---|---|---|
Net Debt/EBITDA | 2.6 | 2.7 | 2.9 |
FFO Adjusted Net Leverage | 2.8 | 3.0 | 3.1 |
Debt to Equity Ratio | 40% | 42% | 45% |
FFO Adjusted Net Leverage means the ratio of:
(a) Adjusted Net Debt
(b) Adjusted Funds from Operation;
Adjusted Net Debt is calculated as follows
Net Debt reported + Operating Leases Capitalized – Interest Rate Swap Fair Value – IFRS 16 Adjustment
Adjusted Funds from Operation is calculated as follows
EBITDA reported + Operating expenses for Capitalized Leased Assets – Taxes paid – dividend vs minorities
Outstanding Bonds
Green Bond 2020
Green Bond 2019
Private placement 2017
ISIN | Issue Amount | Coupon | Issue Date | Maturity Date | Issue Price | Yeld to Maturity | Rating |
---|---|---|---|---|---|---|---|
XS2229434852 | 500,000,000 € | 0.50% | 11 September 2020 | 11 September 2027 | 99.208% | 0.616% | Fitch: BBB- |
XS2274549034 | 100,000,000 € | 0.50% | 23 December 2020 | 11 September 2027 | 101,102% | 0.334% | Fitch: BBB- |
Green Bond 2019
ISIN | Issue Amount | Coupon | Issue Date | Maturity Date | Issue Price | Yeld to Maturity | Rating |
---|---|---|---|---|---|---|---|
XS1981060624 | 500,000,000 € | 1.875% | 11 April 2019 | 11 April 2025 | 99.674% | 1.933% | Fitch: BBB- |
Private placement 2017
ISIN | Issue Amount | Coupon | Issue Date | Maturity Date | Issue Price | Yeld to Maturity | Rating |
---|---|---|---|---|---|---|---|
XS1647857264 | 100,000,000 € | 2.175% | 19 July 2017 | 19 January 2023 | 100% | 2.175% | Unrated |
Page updated at 28 Dec 2021