Lhyfe Prepares for Future Growth Using an Inaugural Syndicated Facility With Redbridge
Industry
Energy
Region
Europe
Service
Debt
Challenge
Lhyfe, a global pioneer in the production of green and renewable hydrogen, aimed to establish an inaugural syndicated facility to boost its growth and transition to industrial-scale operations, despite facing the complexities of strong growth and negative EBITDA. The challenge was to devise a debt structure that met Lhyfe’s growth strategy and considered lender requirements, while facing regulatory obstacles.
Solution
Redbridge supported Lhyfe in developing an optimal debt structure through a detailed evaluation to ensure alignment with the company’s business plan. This involved preparing comprehensive information packages, negotiating terms and conditions with banks, and coordinating the ESG process. The approach was tailored to integrate Lhyfe’s rapid growth and specific financial needs into the syndicated facility structure.
Results
The collaboration between Redbridge and Lhyfe resulted in a $31m syndicated facility, which included a $24.6m term loan with a five-year bullet payment and a €5.8m TL from BPI with an 8/15-year amortization and a three-year grace period. This facility laid a solid foundation for Lhyfe’s future financings, enhancing its capacity to increase the facility size and expand the banking pool as needed.
“Redbridge proved to be essential & has been deeply involved in conducting this complex deal both in terms of structure and distribution, & in closing financing that will be a key component of Lhyfe’s upcoming development.”
Maria Pardo Saleme
Chief Financial Officer, Lhyfe