Solarpack buys 43 MW of solar generation capacity in Peru

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From pv magazine Latam.

Spanish PV developer Solarpack has agreed to acquire a 90.5% interest in the Tacna Solar and Panamericana Solar projects in Peru for around $51.5 million.

Closing of the deal is expected within four months. Solarpack will then become 100% owner of the projects as it already holds a 9.5% stake in the special purpose vehicles owning the plants: Tacna Solar SAC and Panamericana Solar SAC.

The projects, developed and built by Solarpack in 2012 with Spanish company Gestamp Asetym Solar – now X-Elio – are in southern Peru and have a combined installed capacity of 43 MW. Both have signed long-term PPAs with the Peruvian Ministry of Energy as a result of the first renewable energy tender held in Peru, in 2010, and have more than 13.5 years of remaining contractual life.

Bridge loan

The projects had non-recourse long-term project financing from the Overseas Private Investment Corporation, had net debt of $113 million as of February 28 and generated joint EBITDA of $21 million last year.

To part finance the acquisition, Solarpack has signed a bridge loan with a financial institution for $30 million that will be disbursed when the transaction is finalized. For amortization of the bridge loan Solarpack is considering options that may involve a minority partner coming on board.

“This operation is part of Solarpack’s strategy to selectively acquire operating assets that offer attractive returns and clear opportunities to create incremental value due to the existence of operational or other synergies,” said Solarpack in a press release announcing the acquisition. “In this way, the company accelerates the growth plan with which it went to the stock market in December 2018.”

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