Osborne Clarke advises the European Bank for Reconstruction and Development on €25 million investment into Lithuanian energy efficiency fund

International legal practice Osborne Clarke has advised the European Bank for Reconstruction and Development (EBRD) on a €25 million loan to Šiaulių Bankas to support its energy efficiency fund.

SB Modernizavimo Fondas 2 is a specialised fund managed by Šiaulių Bankas to finance energy efficiency investments and renovations in residential multi-apartment buildings in Lithuania, in collaboration with Swedbank and the European Investment Bank.

EBRD's investment will be dedicated to improving the energy performance of such apartment buildings in Vilnius, Lithuania's capital. The injection of funds will help to address one of the city's priorities under the Green City Action Plan, a systematic approach to tackling Vilnius' most pressing environmental challenges, that it is developing through its participation in the EBRD Green Cities programme.

Sue Barrett, EBRD Director for Infrastructure in Europe, Middle East and Africa said: “We are pleased to contribute to Šiaulių Bank's efforts to support the modernisation of residential buildings in Lithuania. Such energy efficiency improvements are crucial not only to speed up the decarbonisation of the housing stock in Lithuania, but also, in an era of persistently high energy prices, to help minimise residents’ and homeowners’ energy bills.

Caroline Saul, an Energy & Infrastructure Finance Partner in Osborne Clarke's UK Projects team, advised EBRD on this transaction. Counsel in Lithuania was provided by Ellex.

The EBRD is a multilateral development bank, and a leading institutional investor in Lithuania. To date, the EBRD has invested more than €1.5 billion through 126 projects in the country.

Osborne Clarke has an established and well-respected position as one of the leading legal practices advising on energy projects and transactions. For over 20 years, it has helped clients to seize new opportunities and meet the challenges of making energy generation clean, affordable and secure. The combination of the international team’s experience and understanding of the energy sector means they are regularly called upon to support businesses on all aspects of their commercial, regulatory, corporate, finance and construction legal needs.