Project Finance Brief: Sol Systems Acquires 190 MW Solar Project in Texas

SUNfarming, a solar project developer and installer through its independent power producer SUN IPP, secured €50 million (~$54 million) to construct 231 MW solar projects in Poland. The mezzanine capital is being extended as subordinated loan by Hansainvest Real Assets, the Hamburg-based investment firm. The euro-denominated mezzanine financing has a term of as much as 20 years.

STANLIB Infrastructure Fund II, the largest asset manager in South Africa and part of the Standard Bank Group, has acquired a 42% stake in the 258 MW Upington Solar Power project in South Africa from Norway’s Scatec for ($57 million). Along with Scatec, and other stakeholders in the project, Norfund has also sold off its 18% share to the Fund.

WEC  Energy Group, an electricity and natural gas provider, has acquired an 80% stake in the 250 MW Samsun I solar project in Texas. The project was developed and built by Invenergy. The commercial operation of the solar project began in May 2022. Samson I solar project has a long-term power purchase agreement with AT&T. WEC Energy Group’s investment is expected to total approximately $250 million for the 80% ownership interest. Samson I solar project is part of the five-phase Samson solar portfolio.

France-based energy conglomerate TotalEnergies said it had sold 50% of a 234 MW portfolio of renewable projects to insurance group Crédit Agricole Assurances. The company said that the transaction implied an enterprise value of $300 million (100%) for the portfolio, which is equivalent to 16 times the EBITDA. The portfolio includes 29 solar and wind projects, of which 25 projects totaling 180 MW are already operational, while four others of 54 MW capacity will be commissioned in the first half of 2023.

Fotowatio Renewable Ventures (FRV), through its Australian unit, acquired a 52-MW solar farm project in New Zealand through a joint venture with domestic power and gas utility Genesis Energy. Lauriston solar farm is a planned 52 MW project located on a 93-hectare site. Once operational, it will power the equivalent of 9,800 houses. It is expected to create more than 50 jobs during the construction phase and employ up to 3 full-time staff when operational.

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Read last week’s project finance brief.