Nordex has raised €200m in a capital increase programme to support its growth path and strategic targets for 2022.
The German turbine manufacturer issued around 10.7 million new shares in an accelerated book-building process excluding subscription rights.
The capital increase was carried out by way of an international private placement exclusively with institutional investors and was “significantly oversubscribed”.
The new shares were issued at a price of €18.90.
BNP Paribas, Paris, HSBC Trinkhaus & Burkhardt AG, Dusseldorf, and UniCredit AG, Munich, served as joint bookrunners of the capital increase.
The inflow of funds will also strengthen Nordex’s balance sheet and serve general corporate purposes.
On the back of a “continuously strong” order book totalling €7.9bn as of 30 September 2020 (projects and service segments combined) Nordex said it is expected to “enhance profitability going forward with an improving mix of changeover to the most recent product series with inherently better margins also driven by its continued supply chain transformation”.
The expansion of production capacities in India to 4GW is central to further increasing competitiveness and bolstering the group’s leading global market position, Nordex said.
The company is also further developing the supply chain for the Delta4000-turbines which are seeing “consistently high demand and a good market positioning”.
After extending its guarantee lines for the projects business in April, Nordex secured in August a state-backed revolving credit facility of €350m helping to protect the company against the effects of the Covid-19 pandemic on its operating business of which €100m has already been repaid.
Nordex has also made binding agreements for the refinancing of promissory notes due in April 2021.
In addition, the sale of the European project development business to RWE for a gross amount of around €400m also had a “positive effect” and has helped establish a “strong financial structure in the medium term”.
Nordex CEO Jose Luis Blanco (pictured)) said: “We are very pleased about the support and the trust of our investors. This capital increase will provide significant additional support to our company as we expand our production capacities in India, for our global markets, in order to further increase competitiveness.
“At the same time, we strengthen our balance sheet, to pave the way for our profitable growth path and are well equipped for further development of the company.”