Project financing by NORD/LB underpins energy transition and digitization
NORD/LB Norddeutsche Landesbank makes measurable contributions to digitization and the global energy transition by way of its project financing operations. 2018 saw the bank arrange an overall volume of EUR 3.5 billion nationally and internationally for energy and infrastructure projects. This puts NORD/LB in the top 3 leading project financing banks
worldwide in 2019 for wind and solar farms according to the prestigious Inspiratia industry portal’s ranking.
The market for renewable energy projects in Germany was particularly tight in 2018 as a result of new legislative framework conditions. All the same, NORD/LB's teams in Oldenburg and Hannover arranged the financing of over 20 projects with a total volume above the EUR 500 million mark. Additionally positive is the associated benefit for Northern Germany's renewable energy sector: a large proportion of the new facilities were built by wind turbine manufacturer Enercon in the North German city of Aurich.
NORD/LB's future-oriented strategy also includes strong involvement in the financing of fibre optic networks towards establishing high-speed internet capability nationwide as a key element of the digitization drive in Germany. In this sphere the Structured Finance team registered successful activity with an arranged financing volume of around EUR 55 million in Germany and France.
Dr. Hinrich Holm, Deputy Chairman of NORD/LB's Managing Board and responsible for the structured finance operations: "In financing renewable energy projects, NORD / LB has made a valuable contribution towards the global energy transition and thus to slowing down climate change. Focal aspects of our activities include key issues such green energy, digitization, social infrastructure and mobility, the implementation of which we underpin locally and globally with our tailor-made and multiple award-winning financing solutions."
Also internationally acclaimed
NORD/LB's competence in the European markets is impressively evidenced through the financing of one of Europe’s largest onshore wind farms, as sole arranger structuring a total financing volume of around EUR 400 million for the Nysäter wind project in Sweden. The turbines used in the project are being built by German manufacturer Nordex. This means that NORD/LB's financing activities abroad are also positive where jobs in Germany are concerned.
Two deals are particularly worthy of note for the non-European market: first, the Sunraysia solar project in Australia has been named Asian Pacific Deal of the Year by the prestigious Thomson Reuters Project Finance International (PFI) magazine. This is now the second consecutive year to see the bank given an internationally renowned award. On the American continent, the financing of a 383 MW wind farm portfolio shows that NORD/LB's expertise is very much in demand for innovative and resource-saving repowering projects. The total financing volume of USD 364 million was realized in cooperation with several consortium partners. The project itself involves the updating of 174 wind turbines with more modern and higher-performance components supplied by Danish manufacturer Vestas.
NORD/LB is also a leading player in the financing of social infrastructure, with a number of successful projects in the public-private partnership (PPP) sector involving the financing of educational institutions. In addition, the bank has financed four projects with a volume of around EUR 200 million, aimed at boosting Germany's local public transport infrastructure.
With total assets of EUR 155 billion, NORD/LB is among Germany's leading merchant banks. Its core business fields include structured financing in the energy and infrastructure sectors, ship and aircraft financing, corporate banking, commercial real estate financing, capital market business and the servicing of private and corporate customers, including private banking. The bank is headquartered in Hanover, Braunschweig and Magdeburg. NORD/LB also has branch operations in Bremen, Oldenburg, Hamburg, Schwerin, Düsseldorf, Munich und Stuttgart, and is represented outside of Germany by a Pfandbrief bank (NORD/LB Covered Bond Bank) in Luxembourg and branches in London, New York, Singapore and Shanghai.
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