WATT Renewable Corporation(WATT), a hybrid solar project developer, secured a $15 million debt facility through several of its project companies from the AFRIGREEN Debt Impact Fund (AFRIGREEN), an infrastructure senior debt fund.
The funds will be used to finance hybrid solar power projects to be built and operated by WATT to cater to commercial and industrial clients in Nigeria, particularly in the telecommunication and financial services sectors, by integrating solar hybrid solutions.
AFRIGREEN is an infrastructure senior debt fund that offers financing solutions for commercial & industrial (C&I) consumers and public utilities in Africa, enabling their installation of on and off-grid solar power plants.
“We are delighted to support WATT in rolling out hundreds of hybrid sites across the country. This represents another key transaction for AFRIGREEN in Nigeria. The combination of high energy prices, good solar irradiation, and strong demand from industrial and commercial energy users makes this market particularly attractive for companies like WATT. By leveraging these favorable market conditions alongside WATT’s exceptional operational performance and a well-structured financing solution, we are setting the stage for a strong and lasting business partnership.” said Alexandre Gilles, Managing Director of AFRIGREEN’s fund advisor.
According to Mercom’s 9M and Q3 2024 Solar Funding and M&A report, announced solar debt financing activity in 9M 2024 totaled $16.7 billion in 68 deals, 4% higher than 9M 2023, when $16 billion was raised in 54 deals.
In November, Birch Creek Energy, a utility-scale solar and energy storage project developer, secured a $150 million credit facility provided by KKR’s High-Grade Asset-Based Finance strategy via insurance accounts managed by KKR. This funding will extend and upsize its previous $100 million facility.
