Greenvolt – Energias Renovaveis has issued a €200 million bond that can be converted into shares as part of a deal with a global infrastructure fund managed by KKR.
The bonds, which will be subscribed by KKR's global infrastructure fund and will not be traded on Euronext Lisbon, have an annual interest rate of 4.75%.
The bonds have a maturity of seven years and can be converted into Greenvolt common shares on the third anniversary of the issue date.
The terms and conditions for the bonds will be determined through negotiation and will be governed by Portuguese law. The conversion of the bonds into shares is subject to approval by Greenvolt's shareholders at the annual general meeting on May 31st.
The conversion price for the bonds into shares has been set at €10.00, a premium of approximately 25% over the average price of Greenvolt's common stock on Euronext Lisbon during the 47 days prior to the agreement. If the bonds are fully converted at the set conversion value, Greenvolt's valuation will be €1.6 billion.
The global investment fund's latest investment in Greenvolt will accelerate the company's growth and enhance its ability to pursue new business opportunities, building on previous investments in the renewable energy sector.
“This is an extremely important operation for Greenvolt, as we see in KKR not only an investor, who recognises the company's potential, but also a strategic partner, who believes in the strategy we have defined, at the same time as it will make it possible to accelerate further the fulfilment of the assumed commitments,” says Joao Manso Neto, CEO of Greenvolt.
“I am certain that it will be a strategic partnership that will generate new growth opportunities that will maximise Greenvolt's value.”
