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Days left26
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Annual return10,50%
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Investment duration24 MONTHS
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Investors221
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Min/Max investment300 / 550.000€
WHAT AM I ABOUT TO INVEST IN?
The company Elia S.r.l. is requesting financing for the development of eight photovoltaic plants located in Puglia and Sicily. The plants are in the authorization phase, and the connection quotes to E-Distribuzione and Terna have already been accepted, along with the corresponding payment. The amount raised through this campaign will be used to refinance these amounts and to continue the authorization and development phases of the projects by the company.
The company is developing the eight photovoltaic plants with a total capacity of 40 MW in Puglia and Sicily across different municipalities. It has already signed preliminary sales agreements for the land on which the plants will be built after receiving authorization from the competent authorities. Once developed and constructed, the plants will be partially retained to receive revenue from energy sales or sold to investment funds and/or interested investors.
The financing through the platform is intended to enable the company to advance the development of the pipeline of photovoltaic plants located in Italy.
HOW SUCH PLANTS ARE DEVELOPED
Below are the extremely simplified steps to complete a renewable energy project, in this case a photovoltaic system.
The longest and most complex phase is the authorization process, which varies greatly depending on the region where the authorization is requested. However, the new Simplification Decree (which can be found here ) has streamlined some authorization procedures for all plants under 10 MW.
HOW IS THE INVESTMENT REPAID?
The connection estimations from Enel Distribuzione have already been accepted and paid. The campaign will allow for the refinancing of the amount and the continuation of the authorization phase.
The critical aspect of the project is indeed the authorization phase, and two possible cases have been proposed for reimbursing the crowd financiers:
CASE OF NOT OBTAINING THE AUTHORIZATION FOR THE CONSTRUCTION OF THE PLANT: In this case, it is possible to request a refund of the amount paid to accept the estimate from Enel Distribuzione, which will return to the company the amount paid (in fact, no work will be carried out by the distributor).
CASE OF OBTAINING THE AUTHORIZATION FOR CONSTRUCTION: In this case, it is already possible to sell the obtained authorization to specialized funds or proceed with the construction of the plant. The partners intend to sell the plants once the design has been realized and authorized.
The duration of the financing has been calibrated to allow the Company to work on the authorization of the plants within appropriate timelines. Early repayment of the financing to the financiers is possible in both cases.
QUALITATIVE SCORING AND FINANCIAL SCORING
ENERSCORE+ & EASYSCORE EXPERT INTEGRATED
Ener2Crowd provides a first qualitative parameter called “EnerScore+” which is assigned to each individual investment proposal. This parameter defines a SCORING that objectively, comprehensively, and understandably summarizes all the data characterizing the project from a technical perspective, including an ESG evaluation expressed in CLASSES, and a verification of the activated SDGs (Sustainable Development Goals) parameters.
A specific Financial Rating called “Easyscore Expert Integrated” is expressed, resulting from the credit analysis conducted by the company EasyFintech, which verifies the reliability and solidity of the creditworthiness of the Project Owner Company. EasyFintech S.r.l. is a company that operates as a reseller of commercial information licensed under art. 134 TULPS Prefect of Milan prot. n. 14795/12B15E of 31/01/2020.
In the case of the project proposed by the company Elia S.r.l., the resulting EnerScore+ is equal to 6.19, for which an ENERSCORE+ B is assigned, while it was not possible to calculate the Easyscore Expert Integrated as it is a newly established company.
Qualitative Scoring – EnerScore+
Elements analyzed:
- Clarity of the project objectives and comprehensibility of the descriptions;
- Strategic relevance of the project;
- Project business plan;
- Clarity of information;
- Technical-project verification;
- Assessment of the honorability of the project owner's team;
- History and experience on the Platform of the project owner, and if applicable, track record of timely payment of installments;
- Consistency of the crowdfunding project with the purposes and mission of the platform, particularly environmental sustainability, innovation, positive impacts on the territory, ethics of the service offered, and social impact;
- SDGs activated by the project;
- ESG report issued by Cerved Rating Agency.
Financial Scoring – Easyscore Expert Integrated
(Data not available for the following project as it concerns a recently established company)
Elements considered for the calculation of the Easyscore Expert Integrated Report – (classes from 1 to 10 with scores 0 - 100) prepared by EasyFintech S.r.l.:
- Corporate structure, beneficial owners, and reputational analysis;
- Analysis of representatives and affiliated companies;
- Last three filed financial statements;
- Financial scores (Crif, CriBis, CeBi, Cerved, Dun & Bradstreet);
- Analysis of InfoCamere databases;
- Any bad news regarding company owners and administrators;
- Any prejudicial registrations or transcripts concerning the project owner, controlling partners, and company representatives;
- Statistical methodologies based on Artificial Intelligence, Machine Learning, and Data Analysis;
- Commercial reliability scoring;
- Analysis of the Bank of Italy Risk Center.
NOTE: It is specified that these values represent only an element of reflection that an investor may consider in the decision to participate in the financing.
INTEREST RATE DEFINITION
In recent months, the global socio-economic context has led to a significant increase in inflation, which is a prolonged increase in the average level of prices of goods and services. The ECB has therefore predicted an increase in mortgage and financing rates with the aim of preserving consumers' purchasing power. The increase in central rates is a macroeconomic policy to counter inflation: the objective of raising rates is to reduce purchasing power by reducing available liquidity for both individuals and companies, to slow down the economy and prevent a continuous uncontrolled rise in prices. . In June 2024, after 5 years, the ECB made an initial rate cut of 0.25 percentage points, followed by another 0.25 percentage points in September and October, with a continuously revised bearish outlook - following macroeconomic estimates, opening up new scenarios in the financial market.
INDEXING TO EURIRS AND EURIBOR INDICES
Just as banks define the interest rate applied to loans, in this case, the interest rate is also tied to the EURIRS index (in the case of a fixed rate) and EURIBOR index (in the case of a variable rate).
THE PLACE OF THE INTERVENTION
The eight photovoltaic plants will be located in the Provinces of Trapani, Palermo, and Agrigento in Sicily, and in the Province of Taranto in Puglia.
ELIA S.R.L.
The approach of Elia is based on specialization in starting projects from the early stages of development, in order to maximize returns and added value. Together with Sola, Elia adopts a long-term vision aimed at building a portfolio of operational assets capable of generating recurring revenues over time. Elia's business strategy is based on fundamental pillars:
• Strategic focus, guiding every action towards long-term objectives, promoting sustainable growth and success;
• Integrity, ensuring the highest standards of transparency, honesty, and ethical conduct in all activities;
• Decisive value creation, pursuing exceptional results through bold and well-considered decisions;
• Work ethic, founded on dedication, perseverance, and diligence to achieve excellence and exceed expectations.
Elia is supported by a solid support network, consisting of influential entrepreneurial figures both in Israel and Italy. Its team, composed of professionals with extensive experience in the renewable energy sector, represents one of the main resources for the company's success.
THE OPINION OF THE ANALYST
The analysis of the Company proposed for fundraising is the result of the Report provided by EasyFintech S.r.l. - License art. 134 TULPS Prefecture of Milan prot. no. 14795/12B15E of 31/01/2020 - based on calculators from available databases such as Crif, CriBis, CeBi, Cerved, Dun & Bradstreet, InfoCamere, and other financial scoring tools that combine traditional analysis (economic-financial, trend, reputational) with statistical methodologies based on Artificial Intelligence, Machine Learning, and Data Analysis.
Elia S.r.l. is a Company with its registered office in Milan, established in 2022 with ATECO code 68.1, with the primary corporate purpose of "buying and selling real estate [...]" specializing in the development of photovoltaic plants through different SPVs.
The Administrator of the Company is Giacomo D'Angelo, who has no negative findings.
Regarding the main evaluation parameters, it is noted that it was not possible to calculate the relevant indices since the company was established in July 2022, and during the period, it underwent an intense strengthening phase with high costs necessary for the development of photovoltaic plants located in Italy.
The main parameters therefore highlight a situation as indicated by the 2022 and 2023 Financial Statements, typical figures of a newly established Company that have not allowed for the activation of scoring calculators such as Rating Cribis D&B and CeBi Score 4 within the practice and reporting; given the high costs for the development of the Company and its assets, with very low revenues and liabilities higher than assets, typical of a Company in the "development of photovoltaic and renewable plants" sector at the beginning of its activity.
Regarding the CR Score, for this parameter as well, although it is a confidential data, it was not possible to calculate it since the Company did not have active lines of credit with financial institutions at the time of the analysis.
Overall, from a financial-economic perspective, it is possible to highlight a situation on the part of Elia S.r.l. that shows elements of high risk and criticality due to its recent activity and low numbers; on the other hand, the historical background of the management, the sector related to renewables-photovoltaics, and the potential of the plants under construction in the development and realization phase, are elements that fall within a typical and median situation for newly established companies in the sector.
CONCLUSIONS
As highlighted earlier, the Company is in a development phase where costs exceed revenues, as is customary for companies in the sector. In this specific case, greater weight has been given to technical-design aspects compared to the meager performance of the financial figures and the purely economic-financial analysis of the company.
Overall, it is possible to highlight risk parameters for the campaign in question that are typical of photovoltaic development companies; on the other hand, the technical-design aspects and the management's experience highlight a median case in the sector.
As is often the case for this type of operation, there is extensive recourse to financing among partners to implement the company's development strategies. From the Provisional Verification Balance as of September 2024, it is possible to notice an increase in values, which, however, should be closely monitored until the complete development of the assets.
It is reminded that the indications above are only a reference to make an informed decision based on one's investment propensity, and a thorough analytical assessment of the available elements is always recommended.
CONTRACTUAL STRUCTURE
The Financing Agreement is a purpose loan: ELIA S.R.L. undertakes to use the funds received from investors exactly as specified in the Project outlined in the public offer, and not to divert them for other purposes.
COST STRUCTURE
The total connection cost for the eight photovoltaic plants is approximately € ~1.100.000 (including VAT) in total. To proceed with the procedures, it was necessary to pay Enel about ~30%, which amounts to € 356.845 (including VAT). The minimum target for fundraising on Ener2Crowd will cover 10% of the Capex, while the maximum target will cover 50% of the total.
The crowdfunding campaign is a bridge loan necessary for the Company to advance part of the liquidity needed for the development of the photovoltaic plants and the connection estimates; the remaining part of the sum is covered by company funds.
AMORTIZATION PLAN
The amortization plan provides for the repayment of the Capital only in the last installment. There are quarterly installments with only the Interest Portion amounting to €14.437,50.
The following amortization plan for Elia S.r.l. is calculated with an interest rate of 10,50% for a total of €550.000.
N.B.: The start of the amortization plan is finalized from the first available date after the release terms have elapsed; therefore, the statement provided is merely a simulation containing the first available date in the event of the completion of the campaign by its deadline.
*before any tax withholdings.
CONFLICTS OF INTEREST
The Relevant Parties, except for the Conflict of Interest Policy Manager and the Crowdfunding Service Provider, who cannot under any circumstances participate in the Crowdfunding Offerings published on the Platform, are authorized to invest in this Crowdfunding Offering on equal terms with all other Investors and without preferential treatment or privileged access to information.
For more information, please consult the policy at the following link
SDGs ACTIVATED BY THE PROJECT
The SDGs - (Sustainable Development Goals) are 17 goals defined by the United Nations in the 2030 Agenda for Sustainable Development as a framework for a programmatic strategy "to achieve a better and more sustainable future for all" by 2030.
https://sdgs.un.org/goals
By financing this project, you can contribute to supporting and implementing the following SDGs Sustainable Development Goals:
Why these SDGs?
• SDG 3 improving the health conditions of the community through the accessibility of the structure;
• SDG 7 energy savings generated by efficiency interventions;
• SDG 8 creation of new jobs generated by the activity;
• SDG 11 improvement of the building, the neighborhood, and the city community;
• SDG 12 responsible and efficient use of available resources;
• SDG 13 combating and mitigating climate change with related reduction of GHG.
Become a protagonist of the future and sustainable development by financing this initiative!
PHOTOVOLTAIC
Solar panels are devices that convert solar light into electrical energy. Made up of solar cells containing semiconductor materials, the panels capture photons from the sun and transform them into direct current. This clean and renewable energy can be used to power our homes, businesses, transportation, and industries, reducing environmental impact. In addition to this environmental benefit, there is also a financial one, derived from self-consumption and/or selling the energy produced by the system. Estimates predict over 50 GW of new photovoltaic capacity for European countries. This would put Europe on a path of expansion, with a projected average annual growth of 85 GW by 20261. In 2022, 41.4 GW of photovoltaic installations were installed at the European level, a 47% increase compared to the 2021 figure of 28.1 GW1. Photovoltaics represent one of the most promising renewable technologies to drive us towards decarbonization. Supporting initiatives like these becomes crucial to move closer to a more sustainable future.
WHAT ARE THE ENVIRONMENTAL BENEFITS GENERATED BY THE PROJECT?
It is estimated that the photovoltaic projects developed by Elia Srl will have a power of 40 MWp, thus producing in one year an amount of energy that is equivalent to:
Saving 25.846.155 kg of CO2 in the atmosphere every year
Planting 2.584.615 trees, enough to cover an area of 13.817 soccer fields
Avoiding the emissions of exhaust gases from 18.074 cars every year
These are the effects and benefits that can also be generated thanks to your contribution!
Fast Ticket
Invest in the first days of the campaign, for you immediately an additional 0.5% interest rate
Green Generation
Additional return bonus of + 0.5% on all green loans, reserved for Under24s (18-24 years)
