Enviva values ​​$250 million in tax-exempt green bonds

BETHESDA, Maryland–(BUSINESS WIRE)–Enviva Inc. (NYSE: EVA) (“Enviva” or the “Company”) today announced that it has priced $250,000,000 US Tax Exempt Market Bonds (the “Bonds”). or the “Tax-Exempt Green Bonds” and said offering, the “Offering”) through the Industrial Development Authority of Sumter County, Alabama (the “Issuer”). The tax-exempt green bonds, which will be issued at par, will bear interest at an annual rate of 6.00% and will mature in 2052, with the option for holders to redeem them at par in 2032. Enviva and the issuer expect to close the transaction on or about July 15, 2022, subject to customary closing conditions.

Product use

Enviva estimates that the net proceeds from this offering will be $246,000,000, after deducting the underwriters’ discount and other transaction-related costs. The proceeds of the offering will be loaned to Enviva under a loan and guarantee agreement to finance all or part of the costs of acquiring, constructing, equipping and financing the pellet production plant. fully contracted timber from Enviva, which will be located in Epes, Alabama, and to pay the fees and expenses of the Offering.

Designation

In accordance with Enviva’s Green Finance Framework, the bonds are designated as Green Bonds because the proceeds will be used to finance the construction of a fully contracted wood pellet plant that will produce a low-carbon substitute , sustainable, renewable and instant to fossil fuels. fuels to help decarbonize industries and the global economy. Enviva’s Green Finance Framework, which guides its green bond issuances, was developed in accordance with the Green Bond Principles (2021) as published by the International Capital Markets Association (ICMA) and the Green Lending Principles ( 2021) published by the Loan Market Association (LMA) and the Loan Syndications and Trading Association (LSTA).

The Bonds have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), or under the securities laws of any other jurisdiction, on the basis that the Bonds are securities exempt under Section 3(a)(2) of the Securities Act.

This press release is neither an offer to sell nor a solicitation of an offer to buy any securities, including the Bonds, and there will be no sale of such securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or territory.

Other notable funding

Enviva also announced that it had amended and restated its senior secured revolving credit facility (the “Amended and Restated Credit Facility”) in connection with a transaction that closed on June 30, 2022. The facility Amended and Restated Credit Facility extends the maturity to June 2027 from April 2026 and includes additional improved terms and conditions from the pre-amendment credit facility terms that more adequately reflect the Company’s conversion from a master limited partnership to a joint stock company in late 2021, and the implications of scaling, diversifying and accelerating Enviva’s growth plans, while continuing to maintain financial policies conservative measures to which the Company is committed.

About Enviva

Enviva Inc. (NYSE: EVA) is the world’s largest producer of industrial wood pellets, a renewable and sustainable source of energy produced by aggregating a natural resource, wood fiber, and transforming it into a transportable form, Pellets. Enviva owns and operates ten plants with a combined production capacity of approximately 6.2 million metric tons per year in Virginia, North Carolina, South Carolina, Georgia, Florida and Mississippi, and is beginning the construction of its 11e plant, which will be located in Epes, Alabama. Enviva sells most of its wood pellets through long-term purchase agreements with mainly creditworthy customers in the UK, EU and Japan, helping to accelerate the energy transition and decarbonize reduce them in sectors such as steel, cement, lime, chemicals and aviation fuels. Enviva exports its wood pellets to global markets through its deepwater marine terminals at the Port of Chesapeake, Virginia, the Port of Wilmington, North Carolina, and the Port of Pascagoula, Mississippi, and from third-party deepwater marine terminals in Savannah, Georgia, Mobile, Alabama and Panama City, Florida.

Caution Regarding Forward-Looking Statements

Information included in this document and in any oral statements made in connection therewith includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act. of 1934, as amended. All statements, other than statements of current or historical facts included herein, are forward-looking statements, including statements regarding the completion, timing and size of the proposed offering and the intended use of proceeds therefrom. -this. When used in this document, including any oral statements made in this regard, the words “could”, “should”, “shall”, “may”, “believe”, “plan”, “has intention”, “believes”, “expects”, “project”, the negative of these terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such words of identification. These forward-looking statements are based on management’s current expectations and assumptions regarding future events and are based on currently available information as to the outcome and timing of future events. Except as otherwise required by applicable law, Enviva disclaims any obligation to revise or update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date hereof. Enviva cautions you that these forward-looking statements are subject to risks and uncertainties, most of which are difficult to predict and many of which are beyond Enviva’s control. These risks include, but are not limited to: (i) economic and market conditions during the Offer; (ii) our ability to use the proceeds of the Offering in accordance with the terms of the Principles of the Bonds and Green Bonds; and (iii) other factors, as described in Enviva’s filings with the Securities and Exchange Commission (the “SEC”), including the factors detailed under “Risk Factors” in the Annual Report. of Enviva on Form 10-K for the fiscal year ended December 31, 2021, as completed in the Company’s Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2022.

Should one or more of the risks or uncertainties described herein and in any oral statements made with respect thereto materialize, or should underlying assumptions prove incorrect, actual results and plans could differ materially from those expressed in the statements. prospective. Additional information regarding these and other factors that may impact Enviva’s expectations and projections may be found in Enviva’s periodic filings with the SEC. Enviva’s filings with the SEC are publicly available on the SEC’s website at www.sec.gov.

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