Project Finance Brief: Enfinity Global Raises $242 Million for Solar Projects in Japan
Longroad Energy to invest $500 Million to expand its wind, solar, and storage portfolio
From: Mercom Capital Group
Enfinity Global, a renewable energy company, has secured $242 million (~$¥29 billion) in long-term financing for three solar projects in Japan totaling 70 MW. Nomura, a financial institution, acted as the initial lead arranger/sole bookrunner, and Aozora Bank, a Japanese commercial bank, served as the lead arranger/agent.
U.S.-based renewable energy developer and holding company Longroad Energy Holdings has announced an equity investment of $500 million by MEAG, an asset management arm for entities of Munich Re, for the expansion of its 1.5 GW portfolio of owned assets to 8.5 GW of wind, solar, and storage projects in the next five years. New Zealand Superannuation Fund (NZ Super Fund), and Infratil, a listed entity managed by Morrison & Co., will join MEAG to support Longroad’s strategic renewable portfolio expansion.
The Eurasian Development Bank (EDB), an investment firm, provided $37 million in financing for the construction of 11 solar power projects with a total capacity of 65 MW in the Gegharkunik and Aragatsotn Regions of Armenia. All the projects are scheduled to get commissioned in 2022. The investment will be repaid from payments under electricity sales contracts between the borrower and the Electric Networks of Armenia.
ArcLight Capital Partners, a private equity firm focused on energy, infrastructure, and energy transition, announced that its affiliate, Sequitur Renewables, has agreed with affiliates of GlidePath Power Solutions, an energy storage developer to acquire five operating wind projects in Pennsylvania and West Virginia. The portfolio, totaling 185 MW of operating capacity, sells power and renewable energy credits into the merchant PJM market. Sequitur is also acquiring 80 MWh of battery energy storage development opportunities adjunct to the portfolio from GlidePath.
Broad Reach Power, a utility-scale battery storage platform, closed a $160 million project financing for 17 operating battery energy storage systems in Texas and one in California. The financed projects are front-of-the-meter, utility-scale assets using lithium-ion technology totaling 390 MWh. Deutsche Bank, New York Branch, and MUFG Bank acted as coordinating lead arrangers and joint bookrunners for the financing.
Quercus Real Assets Limited, a renewable energy specialist focused on energy transition investments, has raised €33 million (~$33.5 million) for its maiden PV development portfolio. The company intends to use the new capital to develop greenfield photovoltaic assets in Southern Europe, primarily focusing on Spain and Italy. The company is targeting a development portfolio of approximately 1.5 GW.
Masdar Azerbaijan Energy, a solar project developer, has received approval for a $114.2 million financing package from the European Bank for Reconstruction and Development (EBRD), the Asian Development Bank (ADB), the Japan International Cooperation Agency (JICA), and the Abu Dhabi Fund for Development (ADFD) for the commission of a 230 MW photovoltaic (PV) solar power project near the Alat settlement in eastern Azerbaijan.
Spanish solar project developer Ansasol has obtained debt financing from domestic lender Banco de Sabadell to bankroll the construction of 69.5 MW of photovoltaic (PV) projects in Andalusia. The Spanish lender announced it would extend a loan facility of €30 million (~$30.7 million) to cover a portion of the capital required for the particular projects. The whole investment that will be allocated for the schemes was not disclosed.
Innergex Renewable Energy, a renewable energy company, announced the successful completion of an $803.1 million refinancing of the non-recourse debt of its portfolio of wholly owned assets in Chile with the issuance of $710.0 million green bonds maturing in 2036 (with a balloon payment of $139 million and a $93.1 million letter of credit facility. The refinanced portfolio comprises a combination of solar, wind, and hydro assets and battery energy storage systems (BESS) assets wholly owned by Innergex. Included in the portfolio are the San Andrés solar projects (50.6 MW) and the three Aela wind projects (332 MW), both acquired earlier this year, as well as the Licán hydro facility (18 MW), Mampil hydro facility (55 MW), Peuchén hydro facility (85 MW), and Salvador solar facility (68 MW) together with a 50 MW/250 MWh BESS project under construction.
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Read last week’s project finance brief.