Weekly Closer: Renewables dominate

Led by a $2.2bn acquisition, renewables accounted for just over half the financial closings reported by IIassets.com this week.

The renewable energy transition drove a great majority of deal value and volume this week, accounting for 14 of 26 deals reported to sister website IIassets.com. Ten of those deals accounted for over $4.3 billion in capital flow out of a total reported $7.5 billion in activity. 

Next was the energy sector, which offered the only other mega-deal reported this week, followed by transport, social infrastructure, and waste & water.

Renewables | Total deal flow = $4,332.5 million 

Details came in this week on the $2.2 billion Isagen Acquisition from the Colombian government by Brookfield Renewable Energy Partners on 22 January. For its investment, Brookfield's LP picked up 57.6 percent of outstanding common shares in the company, which owns a renewable energy portfolio consisting of 3,032MW of largely hydroelectric generating capacity and a 3,800MW development portfolio. 

Financing completion was reported on the UK BIIF BidCo Refinancing by 3i this week after the transaction closed on 7 January with support from two loans. The first was a $713.34 million syndicated loan and the second was a $73.69 million loan. Both loans were led by ING Group. 

The Starwood Energy Group-sponsored 230-MW onshore Electra Wind Project reached close on $315 million on 1 March in Texas through two nine-month term loans in the amounts of $245 million and $70 million provided by MUFG Union Bank and Rabobank. Bank of America also participated in the first loan.  

Urbaser Investments and Balfour Beatty reported a 21 January close on their Gloucestershire Energy from Waste Project in the UK through two loans totaling $308.26 million from Norddeutsche Landesbank (NordLB). The first was a 26-year term loan issued in the amount of $59.68 million, and the second a three-year $19.51 million loan. 

The 16 February close of the Kruger Energy Chatham and Kruger Energy Port Alma Refinancing of 2016 through four loans was reported this week by sponsor Kruger Energy. The four loans were provided by a club of five banks including Bank of Tokyo-Mitsubishi UFJ, Canadian Imperial Bank of Commerce, National Bank Financial, Scotiabank and Sumitomo Mitsui Banking Corp. The loans were in the amounts of $95.51 million, $117.91 million, $13 million and 21.74 million with terms of 10 years on the first three loans and three years on the fourth. 

Three loans supported the 24 February close of DIF (85 percent) and Green Yellow's (15 percent) France 15 Rooftop Solar Portfolio Refinancing. Caisse d'Epargne and Natixis provided the three loans, including a $36.68 million 15-year loan, a $172.3 million 15-year loan and an $8.89 million 13-year loan. 

On 25 February, Sowitec Group and Bow Power closed on the financing of their $136.51 million Vientos de Pastorale Windfarm Refinancing in Uruguay with a $92 million loan from Deutsche Bank and Intesa Sanpaolo. Loan term was not disclosed. 

NordLB issued four term loans to support the 1 February financial close of the Alisea Wind Project in Italy, a BayWa- and Nisidra-sponsored project. Financing includes 14-year loans in the amounts of $33.19 million and $28.2 million and four-year loans in the amounts of $8.68 million and $17.14 million. 

NTR's Ora More Wind Project in the UK, which is currently under development by Moriarty Civil Engineering and Construction, reached close on 7 March with support from a $23.85 million loan from Ulster Bank Ireland. Loan term was not disclosed. 

Foresight ITS reached financial close on its UK-based Moray Anaerobic Digestion Plant Project, worth $8.6 million through the provision of $4.4 million from its Foresight AD EIS Fund on 1 March. The plant has a 1MW capacity.

Four deals in the renewables sector reported close without financial details this week. These include the Bluefield Solar Four Solar Farms Acquisition on 29 January, the Hazel Capital UK Solar Portfolio Refinancing on 2 March, the East Pecos Solar Facility Acquisition on 7 March and the Hall Farm Solar Project Acquisition on 7 March. 

Energy | Total deal flow = $1,478.06 million 

Interconexion Electrica's close on the Cardones-Polpaico Transmission Project led the week for energy, with a $1 billion financial close reported on 7 March. The project was financed through a $770 million loan from a club of six banks including Banco Bilbao Vizcaya Argentaria (BBVA), Banco Estado, Bank of Tokyo-Mitsubishi UFJ, Credit Agricole CIB, Natixis and Sumitomo Mitsui Banking Corp. Banco BICE, BBVA, and Banco Estado provided an additional $68 million tax facility. 

Supported by ING Group, the Ferngas Refinancing in Germany was closed on 11 February through a $423.23 million loan facility to support ongoing operations of the Ferngas Group. 

Rarik reached close on 2 March for its Iceland Overhead Electricity Lines Replacement Project with support from a 15-year loan agreement with the Nordic Investment Bank. The project is valued at $54.83 million and carries $27.36 million in debt. 

Two energy deals reported close without financial details this week. They are the Novorossiysk Fuel Oil Terminal Acquisition by OJSC Trasnneft on 3 March and the Manah Independent Power Project Acquisition (38.1 percent) by Khaled Juffali Energy and Utilities from MENA Infrastructure on 8 March. 

Transport | Total deal flow = $889.5 million 

Triunfos Participacoes e Investimentos announced financing from the National Bank of Economic and Social Development (BNDES) for its Triunfo Concebra concessionaire of the BR-060 and BR-153 Highway PPP Project.  

Hutchinson Port Holdings Trust reported close of their Alexandria and El Dekheila Container Terminals Acquisition in Egypt from MENA Infrastructure on 8 March without financial details. 

Social Infrastructure | Total deal flow = $767.64 million 

Social infrastructure was led this week by Plenary Group's Australian Defense Force Single LEAP 2 PPP Refinancing on 4 March. The $526.67 million endeavour was supported by a term loan in that same amount from a club of six banks including Australia and New Zealand Banking Group, Bank of Tokyo-Mitsubishi UFJ, Commonwealth Bank of Australia, Credit Agricole CIB, National Bank of Australia and Natixis. 

Aberdeen Asset Management closed its Aberdeen Portugal Three Hospitals Acquisition (98 percent) from Sacyr Concesiones on 3 March. The asset includes interests in Braga Hospital 1 and 2 as well as Vila Franca de Xira Hospital (Wave 1). 

A four-way tie-up between Equitix (56 percent), Kier (24 percent), SFT (10 percent) and East Ayshire Council (10 percent) reached close on the East Ayshire Learning Campus PPP Project on 24 February through support from three loans. The $64.04 million project was propped up by NordLB, which provided two 26-year loans in the amounts of $57.33 million and $2.14 million, and a three-year loan in the amount of $4.56 million. 

A four-way tie-up between Space Scotland (60 percent), Hub Community Foundation (20 percent), SFT (10 percent) and The Midlothian Council (10 percent) closed on the Newbattle High School PPP Project on 12 February. The project was also supported by three loans from NordLB, including two 26-year loans for $48.67 million and $1.7 million and a two-year loan for $2.89 million. 

Waste & Water | Total deal flow = $44 million 

In the waste & water space, the Islamic Development Bank closed the only deal reported in the sector this week, the Kabala Water Supply PPP Project in Mali. The deal was closed on 7 March with the signing of an agreement between the IDB and the Republic of Mali on the $44 million project, which is the second phase of an ongoing endeavour aimed at improving living conditions for 8.5 million citizens living in and around Bamak.