EnfraGen, LLC, a developer, owner, and operator of specialized sustainable and renewable power and grid stability assets in Latin America owned by Glenfarne Group, LLC ("Glenfarne") and leading global private markets firm Partners Group, on behalf of its clients, announced a USD 200 million non-recourse financing for EnfraGen’s greenfield solar photovoltaic (“PV”) portfolio in Chile, with an option of an additional USD 40 million upsizing via an accordion feature. The transaction was executed through EnfraGen’s renewables division, Fontus Renewables.
The proceeds from the financing will be used to fund the construction, acquisition, operations and maintenance of projects totaling approximately 237 MWdc / 175 MWac.
Ed Diffendal, Managing Director of Private Infrastructure Americas at Partners Group, commented, "EnfraGen continues to transform the Latin American power sector through its premier renewable power and grid stability platforms providing both power stability and reliable clean solar power to communities across Chile. Partners Group looks forward to further supporting EnfraGen's growth and leadership in the energy transition to a more sustainable future."
“The beneficial terms of this financing reflect the quality of the projects, support of our banking relationships and the market’s increasing confidence in EnfraGen as a leading developer and sponsor in the region,” said Bryan Murphy, President of EnfraGen and Managing Director at Glenfarne Group. “We continue to see significant growth potential in Chile in 2021 and beyond, as EnfraGen continues to support Chile’s energy transition and becomes a pre-eminent power business in Latin America.”
Brendan Wolters, Head of Solar for Fontus Renewables said, “Chile provides consistent and reliable regulation that allows for investment in renewable energy, and we are happy to grow our platform in Chile as it continues its energy transition to renewable power.”
Lenders financing the transaction include Banco de Crédito e Inversiones (“BCI”), BNP Paribas, DNB Bank ASA and Sumitomo Mitsui Banking Corporation (“SMBC”). White and Case and Claro y Cia acted as borrower’s counsel and Milbank and Garrigues represented the lenders.
BCI also provided VAT financing for Fontus Prime Solar SpA, with Dentons acting as lender’s counsel.