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Kandó Regulated Infrastructure
PROJECT BRIEF
THE CONCESSION
CREDIT HIGHLIGHTS
ESG FRAMEWORK
Request NDA
Kandó Regulated Infrastructure
PROJECT BRIEF
THE CONCESSION
CREDIT HIGHLIGHTS
ESG FRAMEWORK
Request NDA
PROJECT BRIEF
THE CONCESSION
CREDIT HIGHLIGHTS
ESG FRAMEWORK
Request NDA

Credit Highlights

Institutional-grade structural protections, protective debt metrics, and comprehensive legal safeguards designed to meet senior secured lending requirements.

TRANSACTION PARAMETERS

• Facility Tenor: 10 Years (Sculpted Amortization)

• Capital Split: 90% Senior Debt / 10% Sponsor Equity

• Base Rate: 5.20% Benchmark Interest Rate

CONSERVATIVE LEVERAGE

Total asset baseline of €862.3M backed by a 90% LTV senior secured debt tranche (€776.1M) and a 10% sponsor equity contribution (€86.2M). Features a strict 1.30x minimum / 1.45x average target DSCR.

STATUTORY INSULATION

The project benefits from full regulatory backing via a statutory purchase obligation under the Hungarian Energy Act (VET) and long-term municipal concession contracts featuring explicit lender step-in rights.

LIQUIDITY SAFEGUARDS

Structural cash flow protections include a fully funded 6-month Debt Service Reserve Account (DSRA), an independent Lockbox cash management structure, and a strict distribution lock-up trigger set at 1.20x DSCR.

EPC PROTECTIONS

Construction risk is fully insulated through Fixed-Price EPC contracts with built-in liquidated damages, mandatory performance bonds, parent company guarantees, and a lender-approved insurance package.

A structural commitment to environmental sustainability, climate resilience, and localized grid modernization.

ESG Framework

CLIMATE RESILIENCE & ECOSYSTEMS

Migrating overhead lines to subterranean conduit networks reduces storm vulnerability and eliminates localized wildfire ignition risks by 99%. Additionally, removing overhead cables actively protects regional avian migratory corridors from dangerous grid collisions.

GRID LOSS OPTIMIZATION

Replacing legacy infrastructure with modern insulated conductors directly optimizes network thermal efficiency. The structural upgrade targets a 12% reduction in technical line losses across the regional grid, significantly lowering indirect carbon emissions.

MUNICIPAL SAFETY & URBAN RENEWAL

Burying high-voltage cables increases localized community safety by completely eliminating overhead electrical line hazards in dense residential sectors. This digital modernization establishes a resilient smart-city foundation for 21 fast-growing partner municipalities.

For institutional investor inquiries or access to the virtual data room, please contact project leadership.

Jon Ferris

Project Finance Director

jon.ferris@kandogrid.eu

© 2026 Kandó Regulated Infrastructure. Confidential material intended solely for qualified institutional counterparties and syndicate partners.