Cadeler, a leading offshore wind installation and service provider, has successfully secured a $54 million green loan from HSBC. The loan will be used to finance the construction of a new vessel that will support the installation of wind turbines in offshore wind farms. This vessel will be equipped with the latest technology and will have a high capacity to transport and install large wind turbines. The loan is part of HSBC's commitment to support sustainable projects that help reduce carbon emissions and promote renewable energy sources. Cadeler's CEO expressed his satisfaction with the deal, stating that it will enable the company to expand its fleet and continue to provide high-quality services to its clients. This green loan is a significant step towards achieving a more sustainable future and marks a positive contribution towards the global effort to combat climate change.
Details of the financing
Denmark-based offshore wind contractor Cadeler has secured €50m ($54.2m) in financing from HSBC to fund the construction of its newbuilds and upgrade its existing vessels. The five-year unsecured green loan, which comes with a non-committed accordion option of up to €50m, will be directed towards newbuild projects and improving the existing O-class vessels with new cranes capable of handling the next generation of turbines by 2024.
Cadeler's fleet and global demands
Cadeler's fleet currently consists of two operational wind turbine installation vessels (WTIVs), two X-class WTIVs under construction, and two wind foundation installation newbuilds scheduled for delivery between 2024 and 2026. The funding will help the company meet increasing global demands and execute the largest and most complex offshore wind installation projects.
Merger with Eneti
In June, Cadeler sealed a merger deal with Eneti, led by Emanuele Lauro. After the merger, the combined group will be named Cadeler, be headquartered in Copenhagen, and have a fleet of 10 modern offshore wind construction units. Cadeler shareholders will own 60% of the combined company, while Eneti shareholders will own 40%.
Mikkel Gleerup, CEO of Cadeler, said, "With Cadeler's strategic position in the market, we are well placed to meet the increasing global demands and to execute the largest and most complex offshore wind installation projects."
Fleet and global demands
The offshore wind industry is growing rapidly as countries seek to meet their renewable energy targets. According to the International Energy Agency, offshore wind capacity is set to increase by a factor of 15 by 2040. This presents a significant opportunity for companies like Cadeler to expand their operations and contribute to the transition towards a cleaner energy future.
Summary
Cadeler's financing deal with HSBC will enable the company to invest in its fleet and meet the growing demand for offshore wind installation projects. With the merger with Eneti set to create a larger and more competitive entity, Cadeler is well-positioned to capitalize on the opportunities presented by the rapidly expanding offshore wind industry.
