Climate Insider Brief:
- Enpal, a Berlin-based unicorn specialising in energy-saving technology for households, secured a significant €1.1bn debt facility from Barclays Europe, Bank of America, and Credit Agricole CIB to cover installations for its next 35,000 customers.
- This unique asset-backed security facility, a first of its kind in Europe for renewable energy, mirrors a common setup in the United States, highlighting Enpal’s innovative financial approach within the industry.
- Enpal’s success in securing €3.6bn in debt financing underscores its strategic reliance on debt facilities for growth.
PRESS RELEASE – March 20, 2024 – Enpal has secured a €1.1bn debt vehicle from Barclays Europe, Bank of America and Credit Agricole CIB to cover its next 35k customers.
The Berlin-based unicorn, which provides households with energy-saving tech like solar panels, batteries and heat pumps, has supplied 60k homes.
Instead of raising equity to finance the tech it provides, Enpal draws up debt facilities. When a customer signs a contract, Enpal will receive the entire worth of that contract upfront from the debt facility. The customer’s loan will then be paid into special purpose vehicles (SPVs) held by the three banks, instead of with Enpal— meaning the debt does not sit on the German greentech’s balance sheet.
Enpal says the facility, known as asset-backed security, is the first of its kind in Europe linked to renewable energy, though the setup is common in America.
The company has secured €3.6bn in debt financing. Its last debt fundraise was in June 2023, from DWS, Phoenix Group, ING Germany and BlackRock, and its last equity raise was a €215m round in early 2023, from VCs including HV Capital and SoftBank.
Founded in 2017, Enpal is part of a growing number of companies in Europe providing energy-saving technology to households. Other startups include 1Komma5, also from Germany, and Aira, a Swedish startup targeting customers in Germany, Italy and the UK.
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SOURCE: Sifted
Featured Image: Credit: Tapfiliate
