SUNfarming, a solar project developer and installer, secured mezzanine debt financing in a double-digit million amount for 185 MW of solar projects. The subordinated debt was provided by a managed account, which is administered by Prime Capital.
The funds were raised in the form of bearer bonds at the level of group companies. Capcora acted as the exclusive financial advisor to SUNfarming in the transaction.
Prime Capital was supported in this transaction by Simmons & Simmons as legal advisor, meteocontrol as technical advisor, Eight Advisory (tax), and EURO Transaction Solutions (insurance). On the SUNfarming side, Hogan Lovells acted as legal advisor and Capcora as exclusively mandated financial advisor.
“Thanks to this transaction, we were once again able to generate considerable liquidity from our existing portfolio. These additional financial resources enable us to finance our growth, especially in Germany, and successfully drive forward our ongoing projects,” says Martin Tauschke, Managing Partner at SUNfarming Group.
“We are pleased to announce our second mezzanine financing with SUNfarming this year. This underlines the importance of long-term partnerships and the resulting added value in complex transactions,” explains Bernhard Hofmann, Director of Capcora’s Energy and Infrastructure division.
According to Mercom’s 9M and Q3 2023 Solar Funding and M&A Report noted that announced large-scale project funding in the first nine months of 2023 came to $27.5 billion in 169 project funding deals, a 20% increase compared to $22.9 billion in 128 projects in 9M 2022.
Opdenergy, an independent renewable energy producer, recently closed a $252 million project financing package for two solar projects in the U.S. The first solar project, “Blake,” located in Jefferson County, West Virginia, has an installed capacity of 100 MW. The second solar project, “Elizabeth,” located in Allen Parish, Louisiana, has an installed capacity of 160 MW. Both solar projects are currently under construction and are expected to be operational within the next few months.