Bird & Bird advised RIVE on structuring a €300 million financing platform
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The international law firm Bird & Bird has advised RIVE Private Investment, an independent European investment company, on structuring a new €300 million financing platform dedicated to the acquisition of innovative locomotives. This CAPEX facility was provided by a banking club consisting of KfW IPEX-Bank, Crédit Agricole CIB, Société Générale, and Siemens Financial Services through Siemens Bank. Additional incremental facilities of up to €225 million may be added to this amount.
This financing platform1 will initially support an existing order of (i) 15 Vectron Dual-Mode locomotives manufactured by Siemens Mobility, which operate alternatively in electric or diesel mode, and the acquisition of (ii) 20 Traxx MS3 locomotives manufactured by Alstom – the first of their type to be homologated in France, able to operate in six European countries including Germany, Poland, and France – and (iii) 20 Modula EBB hybrid locomotives manufactured by Vossloh – this is the manufacturer’s first order for this new type of locomotives. Upon their delivery, between 2024 and 2026, the locomotives will be leased to European operators and managed on behalf of RIVE by its long-time partner and asset manager Northrail.
Through this operation, RIVE secures funding for the coming years and equips itself to deploy its investment strategy in the railway sector. RIVE and Northrail support their joint clients in renewing and growing their fleets towards a more sustainable business model and support manufacturers in the development of innovative products for the decarbonization of the sector. These hybrid and/or electric locomotives are at the forefront of the latest environmental and noise standards in Europe and will allow for the saving of 247,000 tons of CO2 per year compared to road freight.
RIVE Private Investment was advised by the following Bird & Bird lawyers: Partners Dr. Matthias Winter (lead), Sebastian Bergenthal, LL.M., and associate Tilman Sörgel (all Finance & Financial Regulation, Frankfurt)