Renewable

November 9 (Renewables Now) - Ireland-based independent power producer Alternus Energy Group Plc (OSE:ALT) has issued a tap bond to fund the acquisition of 15 MWp of solar farms in Poland and Italy and recapitalise an existing Italian park, it said on Monday.

The solar energy-focused business, through wholly-owned subsidiary Solis Bond Company DAC, completed a tap issue of EUR 20 million (USD 23.2m) of its senior secured green bond. The tap was completed at an issue price of 102% of par value, corresponding to a yield of 5.5% and a spread of approximately 608 bps, Alternus Energy said.

The issue’s settlement date is set for November 12.

Alternus Energy will use the funds to acquire 14 operational solar farms with a combined capacity of 14 MWp in Poland and one 1-MWp plant in Italy. The acquisitions will be finalised once customary conditions are met, which is expected in December 2021, the group said.

The company also intends to recapitalise an undisclosed asset in Italy.

“The proceeds will be used to strengthen our position across our core markets and increase our total operating capacity by 12%, and long run EBITDA by approximately 8%. We look forward to further successful issuances as part of our ambitious growth plans to achieve 3.5 gigawatts of operational capacity by 2025,” added chairman and CEO Vincent Browne.

Arctic Securities AS acted as financial adviser and sole bookrunner for the tap issue.

(EUR 1.0 = USD 1.159)