Etrion closes EUR-222m refinancing of Italian solar portfolio
Solar park in Italy. Author: Solar Farm - Solar energy power plants. License: Creative Commons, Attribution 2.0 Generic
Solar power producer Etrion Corp (STO:ETX) said on Wednesday it has finalised the refinancing of most of its 60-MWp Italian solar portfolio with EUR 222 million (USD 236m) in bank debt and project bonds.
The refinancing concerns six out of seven Etrion solar projects in Italy, or 10 out of 17 solar parks, with a combined capacity of 53.6 MW in direct current (DC). It comprises EUR 35 million in floating project finance bonds, a EUR-177-million floating project finance loan from Natixis, BNP Paribas CIB and Creval, as well as a EUR-10-million debt service reserve facility.
“We are very pleased to close the Italian refinancing, which will result in a significant increase in annual cash distributions from our Italian projects,” said Etrion CEO Marco Northland. More specifically, the company expects a 76% increase to its estimated annual Italian cash distributions, from the 2014 run rate of about EUR 4.5 million to an average of some EUR 7.9 million.