Gridserve, a UK developer and operator of ultra-fast charging networks, has announced over half a billion pounds in certified green financing to accelerate net zero transport with a huge expansion of its UK-wide EV charging network.
The debt raising represents the largest global commitment to date for a privately-owned charge point operator, demonstrating the market’s confidence in both the transition to electric mobility and Gridserve’s mission to help deliver net zero transport at speed and scale, Gridserve said in a statement.
The total loan amount – of £526m – comprises £326m in committed loan facilities, with a further £200m uncommitted accordion (incremental) facility for future assets, Gridserve said in a press release.
The £326m facility consists of a £300m term loan, a £10m working capital facility and a £16m VAT facility. The financing will be undertaken under Gridserve’s Green Finance Framework.
The refinancing of its existing and future EV charging hubs and forecourts, as well as related infrastructure including operational solar and battery projects, will allow the company to accelerate the upgrade and expansion of its UK network, it said.
Projected to include the installation of more than 500 new EV hubs nationwide, the growth will deliver more than 3,000 new charge points with speeds of up to 350kW, capable of providing 100 miles of charge in only 5 minutes.
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Toddington Harper, founder and CEO of Gridserve, said: “To secure the largest debt raise globally for a privately-owned charge point operator is a remarkable endorsement of Gridserve’s electric vehicle charging network, our Sun-to-Wheel strategy, our fantastic team and our future expansion plans.
“This financing – which was a hugely popular transaction amongst banks, attracting overwhelming market demand – will accelerate our delivery, providing customers further confidence to go electric, and fully charge Gridserve’s mission to move the needle on climate change, precisely at the time when urgent action is so critically required”.
The bank syndicate behind the debt raise consists of CIBC, KfW Ipex, Lloyds Bank, MUFG, Natixis, NatWest, Santander and UK Infrastructure Bank, with Santander also acting as the Green Structuring Bank and Gridserve being advised by Santander Corporate & Investment Banking.
Other advisers and due diligence providers included Clifford Chance (legal), Arup (commercial), PwC (tax and financial), Aon (insurance) and Mazars (model audit), while lenders were advised by Latham & Watkins (legal). Lloyds is the facility agent and security bank, with Natixis as the hedging coordinator.
Clifford Chance’s advisory team was led by infrastructure partners Julia House and Praveen Jagadish and involved members of the construction, infrastructure finance, energy and infrastructure, private equity, and derivatives teams.
Jagadish said: “Early movers in the EV charging space, including Gridserve, have had to be brave and make bets in the number of different directions, both to get ahead of charging use trends and to access subsidy schemes or favourable regulation. It’s great to see Gridserve now able to capitalise on that good early work by accelerating their scaling and investing in differentiating their consumer offering.”