German utility Energie Baden-Württemberg (EnBW) has, as expected, gone through with a successful €400m rights issue capital increase. These cities raised €3.1 billion to fund their aggressive energy transition projects. This monumental financial move serves to greatly increase the company’s ability to ramp up its investments in renewables. It has improved our transmission and distribution grids. Shareholders received 53,556,139 new shares at €58 in this rights issue.
The additional shares, which are being newly issued, are expected to start trading on July 18, 2025. The capital raised will strengthen EnBW’s €26 billion investment plan for projects slated between 2025 and 2027. This investment further illustrates the company’s deep-seated commitment to its goal of climate neutrality.
Focus on Renewable Energy and Infrastructure
With EnBW’s strategy focused on fostering an expansion of renewable energy, especially through offshore and onshore wind and solar farms. This strategic shift reflects the company’s larger intention to reimagine the energy system in pursuit of ambitious climate goals. EnBW will have to invest up to €50 billion in the coming years to make these dreams come true.
In June 2025, EnBW entered into a ten-year PPA with HL Group. Beginning in 2026, HL Group will procure 80 gigawatt-hours of power annually from EnBW’s He Dreiht offshore wind facility in the German North Sea. This deal exemplifies EnBW’s ambitious focus on renewable energy generation. Second, it further establishes the company as a leader in the evolving energy market.
Strong Support from Shareholders
The capital increase has garnered significant support from EnBW’s shareholders, including the state of Baden-Württemberg and Zweckverband Oberschwäbische Elektrizitätswerke, who are the company’s two main shareholders. EnBW said it was very thankful to its shareholder associations and individual investors for their support especially during this vital stage.
“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.” – Dr Georg Stamatelopoulos
This fiscal flexibility will lead future EnBW investments and projects in the energy transition sector. In addition, it will further the company’s operational strategic priorities and overall capabilities.
In a statement reflecting on the significance of this capital increase, Thomas Kusterer noted:
“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.”
Future Investments on the Horizon
EnBW is firmly committed to investing in new, clean energy infrastructure. This commitment will help provide a foundation for more sustainable growth in the years to come. The combination of new capital, operational earnings, and strategic partnerships positions EnBW favorably as it embarks on this transformative journey.