Waga Energy

Waga Energy Establishes a Green Syndicated Facility for Sustainable Growth

Summary

Waga Energy worked with Redbridge to design a flexible green financing strategy, starting with market analysis and a detailed cash-flow model, which led to an oversubscribed €100 million syndicated facility—€80 million revolving credit plus a €20 million term loan—surpassing the initial €70 million target.

Challenge

Waga Energy, an innovator in the renewable natural gas sector aiming to make renewable natural gas more widely available, required a strategic financing solution to support the company’s rapid growth and operational expansion. Waga Energy sought a €70 million inaugural “green” syndicated facility that would seamlessly integrate with existing and future financial structures while maintaining flexibility and minimal covenants.

Solution

Waga Energy partnered with Redbridge to facilitate a comprehensive financing strategy beginning with a market pre-sounding to identify the best approach & structuring breakpoints. The strategy included constructing a financial model that provided a clear view of intra-group cash flows, and continuous bilateral consultations with lenders to maintain strong negotiating positions, encourage competition between lenders, and address potential concerns early.

Results

The effort culminated in a €100 million green syndicated facility, oversubscribed more than €30 million and increased by an additional €20 million six months later, demonstrating strong market confidence in Waga Energy’s business model and growth trajectory. This combined an €80 million revolving credit line and a €20 million term loan. Waga was now positioned to scale with less equity. This financing structure also aligned closely with sustainability goals.