Zen Energy senior secured fixed rate loan facility

30 May 2025

By Marsha Desouza

IAM is pleased to offer a rare high-yield investment opportunity in ZEN Energy’s senior secured fixed-rate loan facility. Initially launched on July 13, 2023, this security provides stable, attractive returns with quarterly payouts through August 2026.

Key Investment Terms:

13.5% fixed interest, paid quarterly until August 2026
Return on investment: ~12%
One of the higher-yield fixed-rate securities IAM has issued
Limited availability – first come, first served

ZEN has expanded significantly over the past three years, positioning itself at the forefront of Australia’s transition to renewable energy. It is Australia’s first energy company with a near-term science-based emissions reduction target, aligned with limiting global warming to 1.5°C.

Designed for customers seeking zero-carbon energy solutions, ZEN is not burdened by long-term fossil fuel commitments.
Ross Garnaut, a leading expert in energy transition policy, is a driving force behind ZEN’s strategy, having advised multiple Australian governments on energy policy and manufacturing sector revival.
Led by Anthony Garnaut, the management team includes key personnel from AGL’s retailing and trading divisions, bringing deep expertise in the National Energy Market and WA Wholesale Energy Market.
ZEN currently uses cash collateral to secure PPAs and storage contracts due to its non-investment-grade credit rating. As its credit profile strengthens, these security requirements will reduce.
The company is deploying funds to expand operations, enhance storage solutions, and progress toward an investment-grade credit rating.

Zen Energy has made significant strides in recent months, driving improvements across financial and operational metrics for Q3 FY25.

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