German utility Energie Baden-Württemberg (EnBW) has completed a rights issue capital increase raising proceeds totalling €3.1bn ($3.62bn).
The company’s shareholders acquired 53,556,139 new shares at €58 each under the rights issue.
The funds raised will support EnBW's investment plan scheduled between 2024 and 2030.
The company plans to invest up to €50bn in transforming the energy system to achieve climate neutrality.
A budget of €26bn is allocated for projects between 2025 and 2027, focusing on enhancing transmission and distribution grids and developing renewable energy sources such as wind and solar farms.
Investments are also planned for hydrogen-ready gas-fired power plants, infrastructure for a hydrogen core network, and for further expanding electromobility solutions.
These investments by EnBW aim to secure long-term sustainability while maintaining affordability and reliability in energy supply across Germany's southwest region.
EnBW CEO Dr Georg Stamatelopoulos stated: “The successful capital increase marks a key milestone in the implementation of our investment programme. It also demonstrates the great confidence that our shareholders have in our clear strategy for the future and the long-term growth potential of our company.
“We would particularly like to thank our two main shareholders – the state of Baden-Württemberg and Zweckverband Oberschwäbische Elektrizitätswerke – together with the shareholder associations and individual investors. They all support EnBW’s long-term course as Germany’s largest integrated energy provider.”
To streamline the process of raising capital, EnBW utilised an EU prospectus regulation provision for simplified documentation over traditional securities prospectuses.
Following filing in the commercial register, EnBW’s share capital will stand at €845m ($986m) divided across 330 million shares.
The new shares are anticipated to begin trading on 18 July 2025.
EnBW’s deputy CEO and chief financial officer Thomas Kusterer stated: “The capital increase significantly increases our financial headroom. Together with operating earnings, which is the most important pillar, participation models and debt funding, we are thus laying the basis for investments planned through the end of this decade.
“We are therefore delighted by the confidence and support shown by our shareholders and by the fact that we have been able to successfully complete the transaction within such a short space of time.”
In June 2025, HL Group entered a ten-year power purchase agreement with EnBW.
From 2026, the logistics giant will procure 80 gigawatt-hours of electricity annually from the He Dreiht offshore wind farm located in the German North Sea.
