Debt

Group Debt Structure (Actual figures as of 30 June 2020)

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

Financial Policy

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
 
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-

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 22 Sep 2020