Acofi Gestion is set to participate in financing the construction of a portfolio of wind power assets with a total capacity of 74 MW via its Predirec EnR 2 debt fund. The mezzanine loan, in the amount of 21 million euros in co-investment, is backed by unsubsidised and non-contracted assets located in Spain.
This loan will finance part of the equity injected to build the Eolo MOC I portfolio. This consists of five onshore wind farms located in Galicia with total capacity of 74 MW. One of these farms benefits from a state-guaranteed floor price, while energy produced by the remainder will be sold entirely on the wholesale electricity market. In the long term, the electricity generated by this portfolio will supply 52,000 homes while making it possible to save 154,000 tonnes of CO2 per year.
The Eolo MOC I portfolio is wholly owned by the Spanish group, Greenalia, an independent energy producer whose primary business is the production and sale of renewable electrical energy. The Greenalia Group is listed on BME Growth following an IPO in December 2017.
Acofi’s recognised know-how when it comes to financing the Energy Transition, the fruit of numerous transactions carried out since 2014, is further exemplified by this new financing. It also marks the extension of Acofi’s operations in Europe, with projects offering diversified risk profiles, particularly as regards the contractualisation of revenues. Thanks to this loan, which is part of a long-term partnership approach, Greenalia will be able to invest more in new wind projects and thus accelerate the development of its business.
Manuel Garcia, CEO of Greenalia: ‘For us, the result of this operation with Acofi is very satisfactory, both financially and also in recognition of the way of doing things in Greenalia, where we have a clear roadmap, with a diversified pipeline through which we want to be main actors in one of the biggest challenges we have as society: the energy transition and the care for the planet.’
Philippe Garrel, Head of ACOFI Gestion’s Energy Transition activity: ‘We are very satisfied by this first transaction in with Greenalia, which is perfectly consistent with the Predirec EnR 2 fund’s aim of supporting industrial players by setting up collateralised financing adapted to the specific needs of each borrower and helping to meet the challenges of energy transition. The success of this transaction further strengthens the management team’s determination to be involved in projects exposed to market risk in Europe when production costs are competitive.’