Danish energy company Eurowind Energy has signed a 65.33 million euro credit facility for the construction of the Pecineaga wind farm in Constanta, Romania.
Erste Group Bank (Erste Group) and its Romanian subsidiary Banca Comercială Română (BCR) are jointly financing the investment loan, with each contributing 32.66 million euros. The credit facility matures by the end of 2040 and covers 70 per cent of the total development costs of the Pecineaga wind farm.
“Erste Group is proud to partner with Eurowind on this important energy transition project. Erste Group, with over 200 years of history, is dedicated to investing in CEE’s sustainable development and fostering the region’s financial health. Pecineaga wind farm will provide clean, renewable, and reliable energy to households and companies in Romania. I would like to thank the many individuals and teams who helped make this project possible, especially the joint Erste Group/BCR structuring deal team and the entire Eurowind team for the trustful and constructive cooperation,” said Wolfgang Hargassner, Head of Corporate Finance at Erste Group. “Pecineaga wind park represents a remarkable contribution to Romania’s green energy transition and is significant for the wider region. Together with our clients, we will continue supporting the transition to greener energy.”
With a planned capacity of 48 megawatts (MW), the Pecineaga wind farm is
scheduled to become operational in the first quarter of 2025. It is expected to produce almost 176,000 megawatt hours (MWh) per year and supply up to 48,000 households with green energy.
“We appreciate the professionalism and high level of engagement shown by Banca Comercială Română and Erste Group in this transaction. We hope this is just the beginning of a fruitful relationship. Our Pecineaga wind farm is our first construction project in the new wave of renewables in Romania. Eurowind Energy see Romania as an attractive growth market and to realize our substantial development pipeline, we need partners like Banca Comercială Română and Erste Group that can see both purpose and commercial value by playing a part in financing the green transition of Romania,” said Adrian Dobre, Country Manager for Romania for Eurowind Energy.
In addition, the two banks are providing Eurowind Energy with a package worth 18 million euros, including a VAT facility and other products dedicated to supporting the Pecineaga project.
The facility was arranged by Erste Group and BCR, with both acting as mandated lead arrangers and hedge providers, while BCR also acted as a security agent and account bank.