Opdenergy, BBVA and EIB partner for construction of solar photovoltaic portfolio in Spain
With the debt raised, the company is taking a further step towards meeting its 2025 target of reaching a capacity of 3.3 GW of renewable energy projects in operation and under construction.
Opdenergy, an independent renewable energy producer, has today signed a financing agreement with BBVA and the European Investment Bank (EIB) for the construction and commissioning of a solar photovoltaic portfolio in Spain with an expected total installed capacity of approximately 605 MW.
The facility, which falls within the green financing framework that Opdenergy announced last year with a second party opinion by Mercados Aries, has a tenor of between 18 and 18.5 years (including the construction phase) and includes a senior debt principal amount of around €301 million, a €29 million power purchase agreement guarantee line and a credit line facility of €17 million to cover a six-month debt service reserve account.
The projects included in this financing are located in different provinces of Spain such as Zaragoza, Teruel, Ciudad Real and Cuenca.
Through this new facility with BBVA, acting as sole bookrunner, and the EIB, Opdenergy demonstrates its ability to secure financing on competitive terms, backed by the support of major financial partners. With the debt raised, the company is taking a further step towards meeting its 2025 target of reaching a capacity of 3.3 GW of renewable energy projects in operation and under construction.
Luis Cid, CEO of Opdenergy, said: "This new financing agreement is a big step that will help us reach the objectives set out in our roadmap. We are very grateful to both BBVA and the European Investment Bank for supporting us and placing their trust in our business model, which is essential in order to meet global climate commitments in the coming years."
Fernando Alonso, BBVA Spain Corporate and Business Director, added: "This new transaction reaffirms BBVA's commitment to decarbonisation in Spain. It is our goal to accompany leading companies such as Opdenergy in their growth towards more sustainable business models. The commitment to clean energy sources is not only important for decarbonisation, but also for generating significant savings in companies' income statements."
EIB Vice-President Ricardo Mourinho Félix said: "As the EU climate bank and one of the largest financiers of climate action in the world, we put sustainable development at the heart of our activities. Thanks to this transaction, Opdenergy will contribute to ensuring security of energy supply while reducing Spanish dependence on imports as well as lowering the cost of energy bills, a key aspect given the current sharp spike in electricity and gas prices."
Opdenergy has been supported by Watson Farley & Williams as legal advisor and Mercados Aries as technical advisor.