EIFO is providing a £500 million guarantee to support the £4 billion East Anglia 3 offshore wind project off the coast of Suffolk.
The Danish export credit agency was invited exclusively by Iberdrola to participate in the project’s £3.6 billion non-recourse financing alongside 23 international banks.
This marks Iberdrola’s first offshore wind project to be financed outside its own balance sheet and is EIFO’s first project finance guarantee for an Iberdrola-owned entity.
The East Anglia 3 wind farm, being developed by ScottishPower Renewables, will feature 95 Siemens Gamesa 14.7MW turbines and deliver 1397MW of capacity when operational by the end of 2026.
Cadeler is installing the turbines using its Denmark-based fleet, while NKT is delivering and installing the cable infrastructure.
“This financing is highly strategic for Iberdrola,” said Iberdrola CFO Jose Sainz Armada.
“It reflects not only the quality of the project, but also Iberdrola’s ability to mobilise capital with key international players such as EIFO.”
EIFO chief commercial officer Peter Boeskov (pictured) said: “This milestone demonstrates the role export finance can play in delivering the green transition, and the need for innovative financing solutions to realise the critical projects required to reach decarbonisation and energy security goals.”
The financing comprises around 70% senior debt and 30% equity from Iberdrola shareholders.
The participating banks are BBVA, HSBC, ING, NatWest, SMBC, MUFG, Bank of China, Crédit Agricole, CaixaBank, Santander, BNP Paribas, Helaba, Barclays, ANZ, Rabobank, FAB, ICO, Abanca, Kutxabank, Standard Chartered Bank, Bank of Ireland CIC and Siemens Bank.
Financial advisors were Crédit Agricole CIB and MUFG, with A&O Shearman acting as legal counsel to the borrower.
The 1397MW East Anglia 3 is part of the wider East Anglia offshore wind cluster, which is expected to reach 3.8GW. It will power more than 1.3 million homes and cut millions of tonnes of CO2 emissions annually, according to ScottishPower Renewables.