Spanish promoter Umbrella Solar unlocks funds for 212-MWp PV portfolio

Spanish group Umbrella Solar Investment has secured a loan and an equity co-investment to finance its 212-MWp portfolio of 14 PV projects in Spain, the firm’s financial adviser Finegreen said.

Umbrella signed an agreement with Madrid-based real assets specialist Incus Capital to obtain a portfolio-wide merchant term loan for a total of EUR 106.5 million (USD 106.8m) to finance the construction of the projects.

In a separate transaction, French investment manager RGreen Invest committed to acquire a minority stake in the joint venture that will own and operate 14 special purpose vehicles attached to the projects. RGreen Invest, through Infragreen IV fund, will invest up to EUR 42 million in the construction under a preferred equity scheme.

Paris-based Finegreen advised Umbrella on both transactions, it said.

Umbrella’s solar projects are located in the Spanish regions of Extremadura, Andalusia and the Valencian Community. The company progressed them to advanced stages of development, with some already shovel-ready. Financial close for the first 27-MWp project is expected in the coming days, according to Finegreen.

Umbrella’s EPC subsidiary IM2 Energia Solar will be in charge of building the portfolio. It expects to start constructing the most advanced projects in 2022. Once in operation, the solar farms will sell their output under a fully merchant scheme, Finegreen said.

(EUR 1.0 = USD 1.002)

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