Impax Asset Management (Impax) has agreed a €106 million project financing arrangement with KFW IPEX-Bank, a subsidiary of German state-owned development bank KfW, for its Kuolavaara-Keulakkopää (Kuke) wind farm in Finland.
The London-listed renewables fund manager acquired the plant last April from Finnish power company Fortum and forest administrator Metsahallitus. The asset is owned by New Energy Investors II (NEFII), a vehicle Impax closed in 2011 on €330 million.
Kuke is a 51-megawatt (MW) wind farm located in Lapland, Northern Finland. The plant, currently under construction, will at completion be equipped with 17 Nordex N117 turbines. It is expected to enter full operation in early 2016.
The closing coincides with Impax’s acquisition of another Finnish wind farm, which will have a planned capacity of around 27MW. The plant was bought at the fully permitted stage, with construction expected to start in 2015.
“[Finland] has excellent wind resource with a strong and stable regulatory wind regime, combined with a robust economic and political framework within the EU,” said David Trafford-Roberts, private equity director at Impax, in a statement.
The firm has closed six financings since the beginning of the year, including the 27MW Joukhaisselkä wind farm – also located in Northern Finland – last spring.
NEFII now owns more than 400MW of wind and solar generation capacity, in operation or under construction, in France, Germany, Poland, Ireland, Italy and Finland. It was 75 percent invested at the end of last month.