Financing details emerge on UK EV deal

UK-based EV infrastructure developer Zenobe’s has closed a fresh debt facility arranged by 2 institutional investors and 6 commercial lenders to support its expansion, IJGlobal can exclusively reveal.

The £241 million ($326m) debt package is ear-marked for the acceleration of Zenobe’s EV bus fleet expansion in the UK and Ireland.

The financing was arranged across 2 tranches:

  • £116 million – long-term institutional debt tranche with a 15-year tenor
  • £125 million – short-term commercial bank debt tranche with a 5-year tenor

Institutional investor tranche was arranged by:

  • Aviva
  • Scottish Widows

Commercial bank revolving credit facility was arranged by:

  • Lloyds
  • MUFG
  • NatWest
  • Santander
  • Siemens Bank
  • Societe Generale

The financing will enable Zenobē to service and finance up to 430 new e-buses.

Zenobē founder Nicholas Beatty said: “This is an incredibly exciting step for both Zenobē and the transport sector as a whole. This innovative funding structure marks the coming of age of structured finance solutions for fleet electrification, and signifies substantial growth for our business, allowing us to accelerate the roll-out of electric buses across the UK.”

This is the second debt structure arranged for the company bringing Zenobē’s total debt close to £400 million.

M&G's infrastructure equity arm Infracapital, in 2020, invested £150 million in the company.

Founded in 2017 Zenobē is an EV fleet and battery storage specialist with 175MW in operational and contracted storage assets, 394 e-buses and an estimated 25% of the UK operational e-bus market.

Advisers to Zenobē:

  • NatWest – debt adviser
  • Allen & Overy – legal

Adviser to lenders:

  • Clifford Chance – legal

Transaction SnapshotZenobe Energy Additional Facility 2022

Financial Close:
08/02/2022
Value:
$325.92m USD
Equity:
$0.00m
Debt:
$325.92m
Debt/Equity Ratio:
100:0
Full Details