India, Feb. 23 -- BayWa AG has reached a commercial agreement with Energy Infrastructure Partners (EIP), co-shareholder in BayWa r.e. AG, to implement a capital increase at BayWa r.e. AG. This capital increase will primarily be subscribed by EIP, leading to EIP obtaining a majority stake (change of control) in BayWa r.e. AG.
As part of the capital increase, BayWa AG will relinquish existing claims from shareholder loans to BayWa r.e. AG amounting to approximately 350 million euros. Together with additional debt financing, this capital infusion will meet BayWa r.e.'s additional capital and guarantee requirement of about 435 million euros until 2028, as identified in the restructuring report update. This necessity arises from geopolitical an...