EnBW successfully issues €1 billion in green hybrid bonds to advance climate-neutral energy system transformation

Karlsruhe. EnBW today successfully issued two green hybrid bonds with a combined issue size of €1 billion. The transaction met with very strong investor interest, with the bonds oversubscribed 10 times at peak – driven by broad-based international demand.

Based on EnBW’s integrated business portfolio the proceeds from today’s issue can be invested along the entire energy value chain – in solar farms, onshore and offshore wind farms, fast-charging stations for electric vehicles and grid infrastructure expansion. These are exclusively climate-friendly projects in line with the criteria of the EnBW Green Financing Framework.

Hybrid financing instruments are an important element of EnBW’s capital structure. Rating agencies Moody’s and Standard & Poor’s classify such instruments as 50% equity. This supports EnBW’s rating-related financial performance indicators. EnBW is rated Baa1 by Moody’s and A- by S&P.

Marcel Münch, Senior Vice President Finance, M&A and Investor Relations: “With this transaction, we have permanently increased our hybrid volume from €2.5 billion to €3.5 billion. This strategic step strengthens our balance sheet for the long term and increases our financial flexibility for implementing the largest investment program in EnBW’s history.”

From 2024 to 2030, EnBW is investing up to €50 billion in the affordable, secure and climate-friendly transformation of the energy system. Funds are allocated according to a consistently value-oriented approach.

EnBW estimates that it will require annual financing of between €2.5 billion and €3 billion to transition its generation and grid infrastructure to climate neutrality. Marcel Münch: “With the current bond issue and the pre-funding last fall, we have already covered a large part of our financing needs for 2026.”

EnBW has issued two green hybrid bond tranches of €500 million each. The first tranche with an initial coupon of 3.625% has a term of 30 years with a first redemption option in 2031. The second tranche with an initial coupon of 4.5% also has a 30-year term, and a first redemption option in 2035. The issue date is 10 February 2026.

Information on the Green Financing Framework, EnBW bonds and credit ratings is available on the EnBW website.

About EnBW Energie Baden-Württemberg AG   
With a workforce of some 30,000 employees, EnBW is one of the largest energy supply companies in Germany and Europe. Providing energy to some 5.5 million customers, EnBW serves all stages of the value chain, from generation and trading to grid operation and the sale of electricity, heat energy and gas. In the company’s transformation from a traditional energy provider to a sustainable infrastructure group, the expansion of renewable energy sources and of the distribution and transportation grids for electricity and gas, including hydrogen, are cornerstones of EnBW’s growth strategy and the focus of its investment spending. EnBW plans to invest up to €50 billion by 2030, around 85 percent of which is earmarked for Germany. By then, renewables are planned to account for around 80 percent of the EnBW generation portfolio, with coal to be phased out by the end of 2028 provided conditions allow. These are key milestones on the way to the net zero target for the company’s own greenhouse gas emissions by 2040. www.enbw.com