Nexwell Power, a UK-based company that builds and operates solar PV installations, announced the signing of a financing agreement with Coöperatieve Rabobank U.A. for a total amount of €37 million (~$39.77 million). The funding will be utilized to construct seven new plants located in Andalusia and Extremadura totaling 46 MW. The projects are expected to start delivering power in 2024.
Out of seven solar projects, two will be located in the municipality of Carmona (13 MW of installed capacity), two in Badajoz (13 MW), one in Mérida (7 MW), one in Baños de la Encina (7 MW) and another in Palma del Condado (6 MW). The financing agreed with Rabobank includes loan facilities to cover project costs and their associated VAT, letters of credit for the purchase of equipment, and interest rate hedges.
Nexwell Power’s Chief Commercial Officer, Miguel Muñoz, stated, “The financing agreement with Rabobank represents a further endorsement from the financial sector of Nexwell Power’s growth strategy, which will allow us to continue to effectively deploy capital to grow installed photovoltaic capacity, in line with our firm commitment to decarbonizing the planet. Rabobank is strongly committed to the energy transition, and we plan to build on this strong partnership to deploy more MWs in the near future.”
“Rabobank Project Finance congratulates Nexwell Power on reaching financial close for the 46 MW projects and is pleased to contribute to Spain’s decarbonization goals. This transaction also represents a kick-off in our collaboration and relationship with Nexwell Power, a leading player in the Spanish renewable energy market,” said Marc Schmitz, Managing Director of Rabobank Project Finance Europe.
According to Mercom’s 1H and Q2 2023 Solar Funding and M&A Report, the announced large-scale project funding in Q2 2023 reached $9.5 billion in 51 deals, a 79% increase QoQ compared to $5.3 billion raised in 62 deals in Q1 2023.
Matrix Renewables, the TPG Rise-backed renewable energy platform, recently secured €47 million (~$50.47 million) non-recourse financing for constructing a 50 MW solar power project in the La Rinconada municipality area in Seville province of Spain.