Elia Transmission Belgium (Elia) signs EUR 2 billion sustainability-linked revolving credit facility to strengthen its liquidity

• Elia signs with a consortium of eight banks, a EUR 2 billion revolving credit facility (RCF), reinforcing Elia’s liquidity position.
• Elia reaffirms its commitment to sustainable financing through a new RCF with pricing adjusted based on the achievement by Elia of certain sustainability performance targets.
• With more than 90 percent of Elia’s CAPEX and turnover aligned with the EU Taxonomy today, Elia is able to switch the sustainability linked financing into a green purpose loan in accordance with the anticipated Loan Market Association (LMA) guidance for the sustainable financing of “pure play companies” once such guidance is published, with the consent of the lenders.

Elia, the operator of the Belgium’s high-voltage grid, today announced that it has signed a EUR 2 billion revolving credit facility agreement, replacing its current sustainability-linked RCF agreement. The pricing of the new RCF remains linked to the achievement by Elia of certain sustainability performance targets, reinforcing Elia’s commitment to Environmental, Social and Corporate Governance (ESG) objectives.

The sustainability performance targets are related to climate change, biodiversity and health and safety. As a transmission system operator, Elia plays a crucial role in the decarbonisation of the energy sector and society in general by facilitating the integration of increasing volumes of renewable energy.

In addition, the RCF includes a ‘rendez-vous’ clause, enabling Elia to switch the sustainability linked financing into a green purpose loan, in accordance with the anticipated LMA guidance to the sustainable financing of “pure play companies”, once such guidance is published, with the consent of the lenders. This highlights Elia’s proactive approach to sustainable finance and its ambition to remain aligned with evolving European sustainability frameworks.

The five-year RCF has two one-year-extension options and shall be used for general corporate purposes. The banks taking part in the single-tier RCF are ING Bank (Coordinator), BNP Paribas (Joint Sustainability Coordinator), Rabobank (Joint Sustainability Coordinator), KBC (Agent), ABN AMRO, Belfius, CACIB, and NatWest.

« Securing this revolving credit facility not only strengthens our financial resilience but also reinforces our commitment to integrating sustainability across all aspects of our business. Linking the facility to clear sustainability objectives sends a strong signal to our stakeholders and the market that we remain dedicated to delivering meaningful and positive contributions to the environment and society. »
Nicolas Pire, Chief Financial Officer at Elia