The Company sells a wind farm located in the province of Cádiz

AUDAX RENOVABLES CONSOLIDATES ITS ASSET TURNOVER STRATEGY BY SELLING THE WIND FARM HINOJAL

Audax continues with its strategy of asset turnover and value generation for the shareholders

Badalona, 24 November 2019

Audax Renovables (ADX.MC), the energy group whose activities involve retail and production of 100% renewable electricity, has concluded a purchase and sale agreement, under which it transfers the direct shares and the associated rights of its subsidiary, Parque Eólico Hinojal, S.L.U., a wind project located in the province of Cádiz with installed capacity of 36 MW.

The conclusion of this agreement corresponds with the Audax Group’s objective of reducing its debt and is in line with the asset turnover strategy adopted by the company, which are objectives previously presented by Audax on its Investor Day celebrated in May. Following this course of action, the Group has managed to reduce in the current year its financial debt by 25%, which allows it to move forward in a bid to attain a NFD/EBITDA ratio of 1,5x by the year 2022.

At the same time, the Audax Group continues developing several photovoltaic projects purchased recently, of 320 MW, of which 60 MW are in a very advanced stage towards the commencement of its construction works. These projects, once put into operation, will supply approximately 600 GWh of green energy every year, equal to the annual energy consumption of 175,000 households.

The upward trend of its business, both in Spain and internationally, the substantial cash generation, the increase in the margins, as well as the previously mentioned asset turnover constitute the leverage on which the Audax Group’s good results are based. The margin increase is being attained mainly due to the PPA agreements on long term energy purchase, which the Group is concluding with third parties at more competitive prices than the market price, and to the renewable energy generation from its facilities, which makes it possible for the Group to consolidate its leadership, strengthening its current position as the fourth retailer for the SME segment in Spain.

In the first nine months of the year 2019, Audax Renovables has increased its EBITDA by 71.5% in comparison to the same period of the previous year, and this trend is expected to be maintained by the end of the current year. The accumulated EBITDA as at September 2019 amounts to €58.2 million, exceeding the total of €53 million reached throughout the year 2018.

The Audax Group, in this new stage of its growth, continues following the road map for achieving the 2022 objectives, which involve expanding the client portfolio from 305,000 to 500,000 and supplying a total of 15 TWh of energy. Moreover, it expects to exceed the amount of € 1,5 billion in income, achieve an EBITDA of over €100 million and reduce its financial leverage, all of it with the purpose of optimising the group’s resources in order to create value for its shareholders.

More about Audax Renovables:

Audax Renovables is the result of a merger between Audax Renovables itself and its parent company, Audax Energía, which gave rise to an energy group whose business is centred on electricity and gas retailing as well as on the production of 100% renewable energy.

As an energy Group with leading position in the SME segment in Spain, Audax Renovables guarantees efficient supply of energy retailed through a process of vertical integration with the renewable energy production branch, with a robust financial position and ready to lead the energy transition in the European market.

The Group operates through two different business activities: retail and production. Its division of electricity and gas retail is present in Spain, Portugal, Italy, Germany, Poland and the Netherlands. On the other hand, the generation division manages a total portfolio of operating wind farms of 127 MW in Spain, France and Poland. Additionally, it has one project of 66 MW under construction in Panama and has purchased several projects of photovoltaic facilities of 320 MW to be developed in Spain.

For the year 2022, the company has set itself a target of expanding its customer portfolio from 305,000 to 500,000 and achieving a total energy supply of 15 TWh. Moreover, Audax expects to reach more than €1.5 billion in income and double the current EBITDA up to €100 million. The rating at the investment grade BBB- facilitates access to the financing of the projects and positions the Audax Group as an optimum partner for signing PPAs with independent producers

More information about Audax Renovables is available here: www.audaxrenovables.com

Download.