Hexicon AB, through its subsidiary Hexicon Holding AB has entered into a development financing agreement of up to €45m with Glennmont Partners, one of Europe’s largest fund managers focusing exclusively on investments in clean energy infrastructure, as lender.
Hexicon intends to use the proceeds to fund the development of its project pipeline and carry out early repayment of Hexicon’s outstanding convertible loans.
The facility will enable Hexicon to optimize value creation of its project pipeline and provide long-term financial flexibility. The agreement is a solution which provides for the specific needs of Hexicon as a growing developer, while providing Glennmont’s institutional investors with a foothold in the critical and rapidly growing floating offshore wind sector.
“We are pleased to have secured a new loan facility that will propel our growth journey to the next level,” said Hexicon chief executive Marcus Thor (pictured).
“This agreement offers us the financial flexibility needed to effectively develop our project pipeline and optimise the divestment of selected projects at the best possible time and terms. With this solution, we are not only achieving our growth goals but also fully repaying the outstanding convertible loan from November 2022.”
Chief financial officer and partner of Glennmont Francesco Cacciabue added: “Glennmont Partners is delighted to be partnering with Hexicon in financing its large and geographically diversified offshore wind project pipeline, which reflects our continued conviction in the growth of the offshore wind sector globally.
“We believe the development financing agreement has potential to deliver strong value to our clients through exposure to this critically important sector, and in developing promising growth markets with a well-established developer in Hexicon.”