funding and M&A

Matrix Renewables, a global renewable energy company, and Santander Corporate & Investment Banking closed a €300 million (~$322 million) corporate debt financing deal. Matrix secured this financing as Green and Sustainability-Linked, aligning it with the Green and Sustainability-Linked Loan Principles.

The financing will allow Matrix to expedite the growth of its platform by allocating funds toward the construction of its advanced development portfolio in all of its existing markets, including Spain, the US, Italy, and Chile.  This facility is central to Matrix Renewables’ long-term growth, optimizing the equity deployed and managing its renewable energy generation projects. It capitalizes on its existing advanced development portfolio comprising 2.5 GW out of the 14 GW total portfolio.

Benoît Felix, Global Head of Structured Finance at Santander CIB, said: “This financing allows the bank to advance in its aim of promoting the use of renewable energy by providing financing support, reinforcing Banco Santander’s commitment to sustainability and energy efficiency, and aligning with its goal of achieving a more efficient and responsible economy.”

Matrix was advised by Clifford Chance’s Madrid Office, and Santander CIB was advised by Linklaters, also in Madrid, on the legal side, and E&Y as Valuation Advisor and financial model auditor.

Last Month, the company secured €179 million (~$191.54 million) in funding with Banco Sabadell to develop 239 MW of solar projects in Spain. The portfolio consists of five solar projects and is situated in the Palencia province of Castilla León and Badajoz province of Extremadura, Spain.

According to Mercom’s Q1 2024 Solar Funding and M&A report, announced debt financing for the solar sector in Q1 2024 totaled $6.2 billion in 22 deals, a 59% increase YoY compared to Q1 2023 when $3.9 billion was raised in 17 deals.

Recently, Scout Clean Energy, a Colorado-based renewable energy developer, owner, and operator, announced the closing of a $100 million equipment supply loan (ESL) with Rabobank. The facility will be used to fund Scout equipment down payments.