Acciona has a capital-intensive infrastructure/energy profile, with very large non-current assets (€14.4bn) and heavy investment cash outflows in 2022 (€1.94bn net investing outflow, including €2.20bn purchases of PPE/intangibles/investment property). That asset base can support long-term financing, but the company also needs balance-sheet flexibility because growth capex is high.

Leverage is meaningful but not distressed. Total liabilities were about €16.3bn versus equity of €6.3bn at 2022 year-end, giving liabilities/equity around 2.6x. Debt-like funding is also substantial: non-current bonds/marketable debt of €3.1bn, non-current loans of €2.6bn, plus current bonds/loans of about €1.7bn, excluding leases. However, equity increased during the year, operating profit improved, and operating cash flow rose strongly to €1.65bn.

Hybrid bonds would be useful here because they can partly support credit metrics and fund long-duration infrastructure assets without full common-equity dilution. But interest-rate conditions in 2022 deteriorated sharply: 5Y–10Y swap rates moved from near zero/negative levels in 2021 to around 1.7%–1.9%, and corporate/subordinated spreads also widened. Hybrid issuance would therefore be significantly more expensive than in prior years, and relying too heavily on hybrids could increase fixed financing costs and refinancing/call risk.

Given Acciona’s strong asset base and growth needs, some hybrid capital is appropriate. But because leverage is already material and market rates/spreads are elevated, hybrids should be a meaningful but not dominant component of the capital structure. A moderate allocation best balances rating/equity-credit benefits against cost and complexity.

<answer>25%</answer>