16 May 2025 – In a significant boost for Bulgaria’s energy sector and green transition, the European Bank for Reconstruction and Development (EBRD) has invested €50 million in the €500 million senior secured bond issuance by the Eastern European Electric Company B.V. (EEEC). The transaction marks the first publicly listed, euro-denominated, benchmark-sized bond issued by a Bulgarian private company in international debt capital markets.
Supporting Bulgaria’s Energy Transition
EEEC, the energy subholding of Eurohold Bulgaria AD, is a key player in Bulgaria’s energy sector, focusing on modernizing the national electricity grid. The funds raised through this bond issuance will be allocated to upgrading the grid at Electrodistribution Grid West (EDG West) over the next five years.
Key improvements include:
- Smart meter installations to optimize energy consumption.
- Underground electricity line enhancements to improve grid resilience.
- New and retroactive grid connections to support renewable energy projects.
These upgrades are expected to yield up to 194GWh in annual energy savings, contributing to climate change mitigation and supporting Bulgaria’s net-zero emissions target for 2050.
Expanding Bulgaria’s Presence in International Markets
The Luxembourg Stock Exchange has admitted the EEEC bonds to trading on the Euro MTF Market, marking a major milestone for Bulgaria’s financial sector. The success of this issuance sets a precedent for other private companies in Central and Eastern Europe, encouraging them to explore international capital markets for green finance.
EBRD’s Continued Commitment to Bulgaria
The EBRD has been a longstanding partner in Bulgaria’s economic development, investing €4.8 billion across 307 projects to date. Manuela Naessl, EBRD Head of Bulgaria, emphasized the significance of this transaction, stating:
“This landmark bond issuance not only advances Bulgaria’s green transition but also enhances the country’s visibility in international debt capital markets. Our €50 million investment supports the modernization of critical energy infrastructure while setting a strong precedent for future private sector issuers.”
As Bulgaria remains the most energy-intensive economy in the EU, initiatives like these are essential in accelerating sustainable growth and strengthening energy security for future generations.
