Econergy Secures €203 Million Investment from The Phoenix Group for Romanian Projects
Econergy secures a €160 million investment from The Phoenix Group for its Romanian renewable energy portfolio, alongside an additional €43 million under an expanded framework agreement.
The renewable energy company Econergy is deepening its strategic cooperation with The Phoenix Group, which will inject €160 million into a new platform that will centralize most of the company's operations in Romania. Alongside this investment, The Phoenix Group will transfer an additional €43 million as part of the framework agreement signed in 2023 and expanded in early 2025, under which The Phoenix Group committed to investing a total of €225 million.
Under the new agreement, Econergy UK will establish a dedicated, wholly-owned holding company to which all holdings in the Romanian project portfolio will be transferred. In return for the investment, The Phoenix Group will be allocated redeemable preferred shares carrying an annual coupon rate of 8.5%.
The holding company is committed to drawing down €130 million over the next 12 months, with the right to draw down an additional €30 million later. In addition, The Phoenix Group was granted approximately 1.39 million options to purchase ordinary shares of Econergy at a price of 77.5 NIS per share.
A significant portion of the additional investment, approximately €38 million out of the €43 million, will be dedicated to integrating energy storage systems in eight of Econergy's solar projects in Romania. This move is designed to strengthen the group's position in the Romanian market, where it currently holds 743 MW of connected or ready-to-connect projects, alongside an additional 861 MW currently under construction.
Eyal Podhorzer, co-founder and CEO of Econergy, welcomed the deal and stated:
"This agreement represents a significant double vote of confidence from The Phoenix Group, both in Econergy's growth strategy and in the quality and potential of our Romanian portfolio. Securing €160 million in funding allows us to continue accelerating the development and construction of additional projects in the Romanian market while maintaining financial stability and cash flow flexibility."
