Polar Night Energy Raises $8.1 Million in Seed Funding

Solarpack, a solar project developer, has secured a $176.6 million senior financing package for the 300 MW San Martin solar project in Peru. The financing has been secured from enders Crédit Agricole Corporate and Investment Bank, Natixis Corporate & Investment Baking, BBVA, and BNP Paribas using a project finance structure, being the first renewable project financed in Peru based on a Power Purchase Agreement (PPA) between private parties.

Additionally, the financing has been designated as green under the Solarpack Green Financing Framework. This framework aligns with the Green Loan Principles set by the Loan Market Association, recognizing projects that advance environmental sustainability.

The solar project, currently under construction, is expected to generate more than 819 GWh per year, equivalent to the annual electricity consumption of more than 440,000 homes. In addition, it is expected to prevent the emission of more than 564,000 tonnes of CO2 each year.

In addition to the senior financing package, San Martín has also closed with BBVA, a revolving credit facility for up to $19 million to fund working capital requirements during the construction of the project.

Solarpack owns 343 MW of renewable energy projects in Peru under construction and under operation.

“The closing of this financing once again demonstrates the great confidence that major international financial institutions have in Solarpack’s solvency, business model, and management,” said Luis Alvargonzalez, the company’s Chief Financial Officer.

According to Mercom’s Q4 and Annual Global Solar Funding and M&A report, large-scale project funding deals announced in 2023 came to $44.5 billion in 229 deals, of which 196 were disclosed.

Greenvolt, a solar and wind project developer, through its subsidiary Greenvolt Power, signed a €36 million (~$39.34 million) project finance with UniCredit Bank Hungary for the construction, operation, and maintenance of a 57 MW solar project in Hungary. The solar project, which is expected to have an installed capacity of 57 MW with an annual generation capacity of 87 GWh, is currently under construction.