EQS-News: Diok GreenEnergy GmbH
/ Key word(s): Bond
Diok GreenEnergy GmbH issues collateralized Green Bond
Cologne, June 10, 2024 – Diok GreenEnergy GmbH (DGE), an independent developer, electricity producer and portfolio holder of large-scale battery storage systems in Germany, is issuing a collateralized bond (ISIN DE000A352B41 / WKN A352B4) with a volume of up to EUR 125 million, which carries a 7.625% p.a. coupon over a term of five years. As an innovation leader, DGE has been able to qualify the security as a Green Bond and have this confirmed by a sustainability rating agency, as it is fully compliant with the Green Bond Principles (GBP). Interested investors can subscribe to the Diok Green Bond as part of a private placement aimed at qualified investors in Germany and in selected other European countries. Distribution to qualified investors is being handled by GBC Kapital GmbH, Augsburg, and the flatexDEGIRO Bank AG/BankM is acting as paying agent. The Cologne-based company develops, acquires and operates high-performance plants across all project phases. Stable, plannable incomes are generated through long-term power purchase agreements, fixed feed-in tariffs and electricity price arbitrage. DGE meets the challenges of the energy transition by using urgently-needed storage capacities, as electricity from wind and sun is often produced at a time when it is not being consumed. The necessary energy storage systems are therefore indispensable and economically highly attractive, although up to now their supply is still in its infancy in relation to overall consumption. DGE intends to exploit precisely the gap, and to accelerate the switchover up to a planned 100% renewable energy through the operation of BESS systems (BESS: Battery Energy Storage System). Through associated partners, DGE buys electricity when it is favorably priced, stores it temporarily and sells it later - for example, when the price of electricity rises again and demand is also high. Therefore, large-scale storage systems are the necessary energy transition component that is still absent, and are thus essential. A large amount of electricity is produced on sunny and windy days, and cannot all be consumed at that moment, but is needed at some other time. Against this backdrop, some solar and wind power plants with the potential to generate many millions of kilowatt hours are currently simply being switched off. Daniel Grosch, founder and CEO of DGE, sees two reasons for the boom and DGE’s resulting exponential business plan: “Costs of battery projects have fallen by more than 70% in the last four years, not least due to the high investment costs in electrification/battery systems in the automotive industry. Furthermore, there has been a massive expansion of renewable energies, which we also support through the project planning and operation of our PV plants. However, the energy transition can only succeed together with battery storage systems, and the storage market is just in its infancy now. We plan to revolutionize the energy market with innovative battery storage solutions that stabilize the power grid, promote renewable energies and make them attractive in terms of price. We aim to play a leading role in the storage sector by using state-of-the-art technologies and service providers.” The company currently has a pipeline with an investment volume of more than EUR 200 million. In addition, exclusivity agreements exist to acquire various plots of land for large-scale battery energy storage systems (BESS) and free-standing, ground-mounted PV systems. Key data of the Diok Green Bond 2024/2029
About Diok GreenEnergy GmbH: More information: www.diok-greenenergy.de Contact:
10.06.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. |
1920989 10.06.2024 CET/CEST
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