SunEdison, IDB, OPIC and CorpBanca close US$190 Million Project Financing for the Largest Merchant Solar Plant in Latin America
June 30, 2014
BELMONT, California – SunEdison, Inc. (NYSE:SUNE), a leading global solar technology manufacturer and provider of solar energy services today announced the closing of a US$ 155 million non-recourse debt financing arrangement with OPIC (Overseas Private Investment Corporation), the U.S. Government’s development finance institution, IDB (Inter-American Development Bank), the largest multilateral lender to Latin America and the Caribbean, CTF (Clean Technology Fund), a multinational fund whose resources are channeled by IDB to support investments aimed at having a transformational impact in the reduction of greenhouse gas emissions, and CorpBanca, a Chilean commercial bank. The debt proceeds will be used in Chile for the construction of a 72.8 MWp solar power plant, to inject energy directly into the Sistema Interconectado del Norte Grande (SING), selling all its production in the spot market (merchant solar).
OPIC is providing US$ 48.9 million of debt, the IDB is providing US$ 50.3 million of debt directly and is also administering the US$ 16.0 million of debt from the CTF, and CorpBanca is providing a parallel loan of US$ 39.8 million in addition to providing a local Chilean Peso VAT facility for the equivalent of US $35 million. CorpBanca’s participation represents the first time a local bank is participating in the senior debt facility for a merchant solar project in Chile.
Interconnection of the 72.8 MWp plant is expected to take place during 2014. Once completed, the project, called “María Elena” and located in the Antofagasta region, is set to become the largest solar photovoltaic merchant plant in Latin America and one of the largest in the world. SunEdison will own and operate the plant as part of its ongoing strategy to maximize retained value.
José Pérez, president Europe, Middle East, Africa and Latin America for SunEdison, stated: “Today marks a new milestone in the energy industry – this power plant demonstrates that photovoltaic solar energy can compete with traditional energy sources and win. It is an international benchmark for the development of solar energy”
Pérez added: “María Elena is the next step in our ongoing commitment to Chile’s energy future and the growth of the solar industry, in the interests of a more sustainable future for everyone.”
Jean-Marc Aboussouan, Chief of the Infrastructure Division of IDB’s Structured and Corporate Finance Department, stated “We are proud to continue supporting the development of the solar energy sector in Chile, together with our private sector partners, and to help the Government of Chile to mobilize resources from the Clean Technology Fund.”
“This is an exciting and important project that will advance the field of renewable energy in a country with solar power deployment that’s growing at an impressive pace,” said Elizabeth Littlefield, OPIC’s President and CEO. "SunEdison is a global partner of OPIC’s, and with the closing of this loan, we are proud to continue supporting this global leader in clean energy while helping Chile expands its own renewable power capacity.”
Rodrigo Oyarzo Brncic, Managing Director, Corporate Banking Division of CorpBanca, stated “Welcome to Energy that allows grow up our country Chile. Welcome SunEdison to our corporate banking customers, we appreciate the confidence to be the first commercial bank in Chile in developing such PV project as Senior Lender, VAT Facility provider, Hedge Provider, and Administrative Agent Bank”.
SunEdison is a global leader in transforming how energy is generated, distributed and owned. SunEdison manufactures solar technology and develops, finances, installs and operates distributed solar power plants, delivering predictably priced electricity and services to its residential, commercial, government and utility customers. SunEdison also provides 24/7 asset management, monitoring and reporting services for hundreds of solar systems worldwide via the company’s Renewable Operation Center (ROC). SunEdison has offices in North America, Europe, Latin America, Africa, India and Asia. SunEdison's common stock is listed on the New York Stock Exchange under the symbol "SUNE." To learn more visit www.sunedison.com.
OPIC is the U.S. Government’s development finance institution. It mobilizes private capital to help solve critical development challenges and in doing so, advances U.S. foreign policy. Because OPIC works with the U.S. private sector, it helps U.S. businesses gain footholds in emerging markets, catalyzing revenues, jobs and growth opportunities both at home and abroad. OPIC achieves its mission by providing investors with financing, guaranties, political risk insurance, and support for private equity investment funds.
Established as an agency of the U.S. Government in 1971, OPIC operates on a self-sustaining basis at no net cost to American taxpayers. OPIC services are available for new and expanding business enterprises in more than 150 countries worldwide. To date, OPIC has supported more than $200 billion of investment in over 4,000 projects, generated an estimated $76 billion in U.S. exports and supported more than 278,000 American jobs. For more information about OPIC please visit www.opic.gov
About the IDB and the Structured and Corporate Finance Department:
Established in 1959, the IDB is the leading source of development financing for Latin America and the Caribbean. The Structured and Corporate Finance Department (SCF) spearheads all IDB operations without sovereign guarantees for large-scale projects, companies and financial institutions. SCF provides tailored financial and technical solutions to businesses in a range of sectors including renewable energy, transportation, water and sanitation, financial markets, agribusiness, healthcare and education. The department serves as a catalyst, helping to mobilize third-party resources through partnerships with commercial banks, institutional investors, co-guarantors and other co-financing entities for projects with high impact on development. By partnering with the private sector, the IDB helps achieve breakthrough financial results with high development impact.
About CorpBanca: CorpBanca is Chile’s oldest operating private bank founded in 1871. Based in Chile, CorpBanca also participates in Colombia and Panama. It also has a branch in New York and a representative office in Madrid. Its total consolidated assets are US$33 billion approximately and the equity totaled US$3.3 billion. Focused on large and medium companies and individuals, CorpBanca offers universal bank products. Its remarkable performance in the past 18 years has allowed consolidating CorpBanca as the fourth largest private bank in Chile. In 2012 CorpBanca started the process of regionalization with the acquisition of two banks in Colombia, becoming the first Chilean bank to have banking subsidiaries abroad.