The net proceeds will be used to repay an existing revolving credit facility. Image: Aquila European Renewables
Renewables investor Aquila European Renewables has secured a €50 million (US$54.7 million) debt facility through a 180MWp solar PV portfolio in Spain.
Aquila European Renewables has announced its plan to utilize the net proceeds from a five-year non-recourse debt facility, provided by ING Bank NV Sucursal en Espana, to repay an existing revolving credit facility. This repayment will free up approximately €70 million in available capacity under the revolving credit facility.
In addition, the company emphasized that the untapped revolving credit facility offers substantial flexibility for future capital allocation decisions. This includes the potential continuation of the share buyback program, allowing the company to strategically manage its financial resources.
Aquila European Renewables has provided further details regarding the debt facility, stating that it maintains a conservative gearing level of approximately 26% for the solar PV portfolio. This calculation is based on fair values as of September 30, 2023. The debt facility is partially amortizing, with a balloon repayment scheduled at maturity. Additionally, there is an option to extend the facility by an additional €18 million, and two 12-month extension options are also available.
According to Aquila European Renewables’ website, the company has a portfolio of approximately seven solar PV projects in Spain and Portugal. In addition to these solar projects, Aquila also operates wind energy and hydropower projects in Portugal, Greece, Denmark, and Norway.
