American Capital Energy & Infrastructure has closed on an $89.6 million debt and equity package for subsidiary BMR Energy to close on a landmark 36MW Jamaican wind farm.
The lion’s share of the package, $62.7 million in debt, will come from a senior loan by the Overseas Private Investment Corporation ($42.7 million), followed by a $10 million senior loan from the IFC and a $10 million loan from the IFC-Canada Climate Change Program. American Capital is providing the remaining $26.9 million in equity.
The wind farm project will sell its power to the Jamaica Public Service Company under a 20-year power purchase agreement. The electricity it produces is going to be among the cheapest in Jamaica, American Capital said, in contrast to the power produced by oil-fuelled power plants. The firm said it plans to make further investments in the region.
In related news, American Capital is expanding its international power team with two new hires. Patty Rollins, formerly of Silver Ridge Solar, joins as vice president for sourcing, underwriting and managing investments. Erica Chang joins from Marubeni Asian Power Singapore to serve as director for Asia investments.
American Capital is a private equity firm with $80 billion of assets under management. It focuses on midmarket private equity, leveraged finance, energy and infrastructure, as well as structure products.
This article was first published on Low Carbon Energy Investor, our sister publication dedicated to low carbon energy investing.