Ilmatar, an independent renewable energy power producer, secured a group-level debt financing package of €500 million (~$536 million) in a transaction led by Copenhagen Infrastructure Partners (CIP) through its Green Credit Fund 1 with participation from Kommunal Landspensjonskasse (KLP), P Capital Partners (PCP) and accounts managed by CIP.
The package comprises a day-one committed tranche of €325 million (~$349 million) and an uncommitted increase option of €175 million (~$188 million). The funding will be used to accelerate the company’s growth.
With this financing from CIP, its co-investors, and PCP, Ilmatar has secured more than one billion euros in equity and debt funding for its growth strategy over the past five years.
“This debt package strengthens our position as an independent power producer as it enables us to accelerate building renewable energy production in Finland and Sweden in accordance with our strategy. We are pleased to partner with CIP and PCP in executing the green transition in the Nordics,” comments Ilmatar’s CFO Antti Sallila.
The company, during 2023, is commissioning six onshore wind farms and one solar farm in Finland. It has an approximately 1GW portfolio of renewable energy in operation, construction, or ready-to-build phases.
The company also secured enough land in Sweden to generate around 4.2 terawatt hours of solar power per year. This corresponds to an electricity demand of approximately 210,000 detached houses. Ilmatar is also developing offshore wind power, energy storage, and Power-to-X solutions in Finland and Sweden.
Akereos Capital acted as the sole book-runner, structurer, and exclusive debt advisor to Ilmatar during the process.
According to Mercom’s 9M and Q3 2023 Solar Funding and M&A Report, in 9M 2023, Announced solar debt financing activity in 9M 2023 totaled $16 billion in 54 deals, 93% higher than 9M 2022 when $8.3 billion was raised in 48 deals.