IJGlobal Magazine - Summer 2021 Issue - 8889f0
IJGlobal Magazine - Summer 2021 Issue - 8889f0
IJGlobal Magazine - Summer 2021 Issue - 8889f0
2020
Awards special
This year’s roll-call of the victorious
for deals closed in 2020
Navigating the
Complexities of
Infrastructure and
Project Finance. PROVIDING CLIENTS WITH CROSS-INDUSTRY
INSIGHT, GLOBAL EXPERTISE AND ROBUST
Together
SERVICE SOLUTIONS:
© 2021 The Bank of New York Mellon Corporation. All rights reserved. BNY Mellon is the corporate brand for The Bank of New York Mellon
Corporation. Products and services referred to herein are provided by The Bank of New York Mellon Corporation and its subsidiaries.
Content is provided for informational purposes only and is not intended to provide authoritative financial, legal, regulatory or other
professional advice. For more disclosures, see https://www.bnymellon.com/us/en/disclaimers/business-disclaimers.jsp#corporatetrust
Contents
Editorial Director Reporter, Funds and M&A Reporter, European Energy M&A Business Development Manager, IJGlobal
Angus Leslie Melville Arran Brown Edin Imsirovic EMEA Euromoney Institutional Investor PLC,
+44 20 7779 8034 +44 20 7779 8441 +44 77 4264 7824 Doug Roberts 8 Bouverie Street
[email protected] [email protected] [email protected] +44 207 779 8546 London, UK EC4Y 8AX
[email protected] +44 20 7779 8870
Editor Reporter, Energy Reporter, Latin American
Ila Patel Elliot Hayes Infrastructure Head of Subscription Sales Directors
+44 20 7779 8629 +1 212 224 3445 George Hames Dan Sedman Leslie Van De Walle (Chair),
[email protected] [email protected] +44 20 7779 8175 +44 20 7779 8675 Andrew Rashbass (CEO), Wendy
[email protected] [email protected] Pallot (CFO), India Gary-Martin,
Assistant Editor Reporter, European Infrastructure Jan Babiak, Colin Day, Imogen Joss,
Anna Cole-Bailey Maya Chavvakula Production Editor Lorna Tilbian, Tim Pennington
+44 20 7779 8040 +44 20 7779 8648 Head of Data
Tim Huxford
[email protected] [email protected] Sophia Radeva No part of this magazine can be reproduced without the
[email protected] written permission of the Publisher. IJGlobal. Registered
in the United Kingdom ISSN 2055-4842.
Asia Pacific Editor Reporter, MEA
IJGlobal is a full service business website and e-news
Dave Doré James Hebert Data Managers Managing Director, Market facility with printed supplements by Euromoney
+852 2912 8052 +44 20 7779 8181 Yavor Guerdjikov Intelligence Institutional Investor PLC.
[email protected] [email protected] Stefaniya Dyulgerova Tim Wakefield Although Euromoney Institutional Investor PLC has made
every effort to ensure the accuracy of this publication,
+44 20 7779 8637 neither it nor any contributor can accept any legal
Funds Editor Reporter, Asia Pacific [email protected] responsibility for consequences that may arise from
Ott Tammik Civi Yap Data Analysts errors or omissions or any opinions or advice given.
+44 0 207 097 3842 +852 2842 6971 Lyudmila Zlateva Divisional CEO This publication is not a substitute for specific
professional advice on deals. ©Euromoney Institutional
[email protected] [email protected] Aleksandar Arsov Jeffrey Davis Investor 2021
To find out more about IJGlobal and the services we offer, contact us at:
[email protected]
Jemima is well-known to IJGlobal having Simon Currie As head of ESG at Aviva Investors’ £46
been voted Rising Star in the IJInvestor billion real assets platform – encompassing
Awards 2020, proving to be a popular real estate, infrastructure and private debt –
choice among the judging team based – Ed was a shoo-in for this panel.
among other reasons – for the impressive He works closely with colleagues across
role she has played in AllianzGI on the ESG the platform to lead the firm’s ESG strategy
front. across investment, development and asset
She brings a welcome breath of management, and he’s well qualified to do
(comparative) youth to the judging panel, this given his 18 years’ experience in the
but more than justifies her presence for the industry
key role she has played in driving the ESG Prior to Aviva, he held the role of
agenda within her organisation. sustainability insights director at Landsec,
Jemima is an investment professional joining the business in January 2016 to lead
within the infrastructure debt team at Allianz integration of the company’s sustainability
Global Investors, having joined it in 2018. strategy through a £3.6 billion development
She has made investments in various pipeline as well as ESG strategy, research
European infrastructure assets while – in IJGlobal’s relationship with Simon dates and governance functions.
tandem – creating the inaugural ESG back to when he was a London-based
integration framework for infrastructure debt. partner at (then) Norton Rose – now Norton Edward Dixon
Interestingly, she is currently working with Rose Fulbright. Back then, he was way
other investment teams within Allianz Global ahead of the curve, driving the renewable
Investors to roll out a standardised approach energy agenda… usually in a suit that
to ESG risk integration across the private was inordinately cooler than any of his
markets platform. colleagues.
We like Simon so much, we even wrote a
Jemima Atkins profile on him back in September 2019!
A New Zealander by birth, Simon returned
some years ago to the southern hemisphere
with NRF to practise in Sydney. The years
since have seen him switch sides of the
table and launch an interesting business
that seems to be doing rather well.
He is a principal and co-founder of
Energy Estate which they describe as “an
advisory firm and business accelerator,
focused on driving the transformation of the
global energy sector”. His career also includes consulting,
Simon is renowned as a leader and development and project management roles
pioneer in the transformation of the global at UK-based construction company Mace,
energy sector with a focus on integrating multi-national retailer Marks & Spencer
the energy sector alongside other industries. and Simons Group – the well-established,
He is passionate about the digitisation development and design business, based
of the industry, new and emerging in Lincoln and owned by the Hodgkinson
technologies and the potential for creating family.
jobs and economic growth through this Ed is a critical thinker and believes in
approach. the power of organisational behaviour and
Simon is also recognised for his leadership theory as a tool to address
innovative approach to realising the broader sustainability challenges.
environmental, social and economic
outcomes of all the projects he works
on, and encouraging partners and other Silke Goldberg
industry leaders to do the same. Herbert Smith Freehills
In addition, Jemima is the investment-lead Energy Estate’s track record includes
for implementing the EU Taxonomy and many pioneering projects that have When it comes to power, there are few
SFDR across private debt strategies, as delivered broader benefits through legal experts with the Europe-wide depth
well as being a member of the GRESB community ownership schemes, mandated of experience that Silke brings to the table.
Infrastructure Debt Industry Working Group. local content and local employment, She is even identified as “leading individual”
Prior to Allianz, Jemima worked at Bank of Indigenous engagement and biodiversity in this space by Legal 500 and has the ESG
America Merrill Lynch. outcomes. credentials to match.
Silke is admitted to practice in Germany, At Sequoia, he has primary responsibility Vanessa Havard-Williams
England and France and has nearly 20 for the risk management and compliance
years‘ experience of working in the energy of its infrastructure debt funds. Further, he
sector, 16 of them as a lawyer. oversees all day-to-day operations in the
She has advised clients in relation to the fund.
design of emission trading regimes, energy
transition projects and director liability in Anurag Gupta
relation to climate change. She has also
advised several governments in relation to
the development of their national climate
legislation.
Silke Goldberg
Liam O’Keeffe
KEB Hana Bank
He has more than 23 years’ experience
in infrastructure investment and financing in Liam O’Keeffe
PFI/PPP and renewable energy projects.
Prior to Foresight, Chris worked at John
Laing Capital Management as a director
where he co-led the investment advisory
services for JLEN.
Before joining JLCM, Chris was managing Ana Carolina was recommended for the
director and head of the waste and judging panel by IJGlobal editor Ila Patel
bioenergy team at the UK government’s who wrote a feature on ING last October
Green Investment Bank (GIB) for four and was impressed by her views on ESG.
years – which was subsequently bought Ana Carolina heads ING’s sustainable
by Maquarie and re-branded to the Green finance team covering the Americas region.
Investment Group. She works with ING clients in providing
In addition, Chris worked for NIBC Bank for structuring and advisory of sustainable
12 years, lending, advising and structuring finance solutions, to support them in
capital market solutions on a wide range of Another old friend of IJGlobal from back accelerating their sustainability transition.
infrastructure and renewable transactions. in his Credit Agricole days in a leadership She also plays an integral role in
role in syndications – a relationship that supporting ING’s Terra approach, a
continues through to today, now that he is commitment to steer its €600 billion lending
Tallat Hussain heading the project finance division at KEB book in line with the goals of the Paris
White & Case Hana Bank in London. Agreement to keep global warming to well-
Liam has often cropped up on IJGlobal below two degrees.
Tallat first came to IJGlobal’s attention in judging panels over the years and his Ana Carolina also represents ING in
2020 during some conversations where encyclopaedic knowledge of the global supporting industry discussions as a
her forthright views on ESG struck a chord infrastructure market has ensured repeat member of the executive committee of the
with the team and ensured her place on the invitations – not to mention his charming International Capital Markets Association
inaugural IJGlobal ESG Awards judging panel. Celtic routes. (ICMA) and sustainable-finance related
Liam has more than 30 years of project working groups.
Tallat Hussain finance experience and has been head of She has extensive experience in advising
PF for the EMEA region at KEB Hana bank clients on capital structure and working
since 2019. capital optimisation and previously has
Prior to that, he was a managing director served as a director in ING’s healthcare
and head of special projects at Credit sector group where she covered US large
Agricole CIB. While there, he supported multinationals and was one of the founders
the City of London on its Green Finance of ING global healthcare platform.
Initiative and had a paper published on tidal Prior to that she was a senior credit
power in Environmental Finance. officer on the New York credit risk team
He was also a non-executive director of beginning in 2012, after working four years
the bank’s pension trustee and spoke at at ING‘s environmental and social risk team
conferences on the importance of pension in Amsterdam, when she supported ING in
funds adopting green investment strategies. steering the Equator Principles review.
He has also worked at CIBC and KPMG Before that, Ana Carolina worked in The
and is a qualified chartered accountant. Netherlands and in Brazil.
Sarah Roberts Patricia is a real assets investment Prior to joining Vantage, Lisa was
INTECH Risk Management professional and non-executive board associate director and head of portfolio
director with a breadth of experience across management, infrastructure and renewables
Sarah Roberts
infrastructure, real estate and private equity. at NIBC Bank, where she ran a book
Over the past two decades, Patricia has of more than 120 debt transactions
been an investment manager at Macquarie, across Europe. She also worked for the
multi-manager at Townsend and LP at the UK infrastructure teams at IKB Deutsche
Government and PSP, leveraging her cross- Industriebank and Abbey National (now
sector perspectives to carve a unique path. Santander).
Patricia’s dual ambitions of investing well
and seeking to protect the planet led her
to join in 2011 the UK Government to help Simon Whistler
create the UK Green Investment Bank, the Principles for Responsible Investment
world’s first green bank. Patricia has been
a non-exec director at AERIF plc since Simon Whistler
2019, focused on governance and investing
sustainably in European renewables advised
Sarah first appeared on the IJGlobal Awards by the manager Aquila.
2020 judging panel for Europe, coming on She is an independent investment
a recommendation from Guy Dunkley who committee member at GLIL, funded by
heads the IJ Americas subscriptions team leading UK pension plans to invest in UK
out of New York. infrastructure. Patricia began her career in
Guy rightly identified that Sarah would finance with Morgan Stanley.
bring a fresh insurance dimension to the
judging process and this was borne out by
the experience of having her on the panel Lisa Shaw
earlier this year. Vantage Infrastructure
Sarah took an active role in working on
Canada’s first P3 projects and these days The first mention of Lisa in the IJGlobal When it came to pulling together a panel
splits her time between the INTECH offices database dates back – impressively – to for the ESG awards, we reached out to a
in Toronto and Vienna. 2006 when we reported on her joining NIBC few contacts for a recommendation for an
She is heavily involved with designing Bank from IKB. Those were the early days… organisation that plays a key role in this
and implementing insurance specifications the banking days. space… and Simon was singled out as the
in all major agreements forming part of large person to talk to.
projects, including roads, bridges, tunnels, Lisa Shaw By way of a compliment, it was not just
hospitals, schools, courthouses, and other the organisation that was identified as a
major publicly funded projects. good one to have on the panel… he was
identified as “the right person” within the
right organisation.
Dr Patricia Rodrigues Jenner Simon joined PRI in June 2018 and leads
GLIL IC and AERIF board the organisation’s work on real assets.
He works with real assets investors to
Dr Patricia Rodrigues Jenner support their understanding and integration
of responsible investment in their investment
processes.
His most recent work has included
projects on developing guidance for real
More recent (the last decade) career assets investors on implementing the
developments have seen Lisa play a prominent recommendations of the Taskforce for
role in a couple of infrastructure funds where Climate-related Financial Disclosures (TCFD)
ESG has played an increasingly central role. and looking at the role of investors in relation
Lisa joined Vantage Infrastructure in 2013 to the sustainable development goals (SDGs).
and has more than 20 years’ infrastructure Prior to joining the PRI, Simon worked
debt experience. These days, she leads for more than 10 years at Control Risks
Vantage’s global asset management for the where he led a team providing political and
debt business. social risk advisory support to investors and
She is responsible for all of the debt corporate clients in Latin America. This often
Looking back over the IJGlobal archive and team’s analytical processes including involved carrying out pre- or post-transaction
Patricia crops up quite a few times. One of ESG, credit assessment, valuation and DD for major investments and operations,
the key appearances in these pages was performance. Lisa is a member of Vantage’s as well as assessing clients’ social risk
when we announced her appointment to the debt investment committee and of the management and governance frameworks
UK’s Green Investment Bank back in 2012. GRESB Infrastructure Debt Working Group. and performance.
2020
Societe Generale was recognised for being involved in the innovative Changhua Floating Solar Project in Taiwan
Olivier Musset - Global Emmanuel Chesneau - Global Herve Le Corre - Global Stephanie Clement de Givry - Global Head
Head of the Energy Group Head of Trade Commodity Finance Head of Infrastructure Finance of Mining, Metals and Industries Finance
To 2021 and beyond… “hydrogen”… even though all accept it is But that is far from being the only growth
However, it is the future that preoccupies still at fledgling stage. However, in infra/ region for SG. Federico adds: “In North
Federico. His view of the market is heavily energy, change can be blisteringly fast. America we are seeing a significant volume
influenced by market shifts of recent years As Federico points out, when oil prices of activity around renewables, including
alongside climate announcements that are last May crashed and briefly even entered offshore transactions.”
driving ESG and alternative energy up the negative territory, this would traditionally have But the conversation keeps turning
agenda. brought renewable energy developments to back to hydrogen where there is “plenty of
“All eyes are turned to where we go a grinding halt, but that did not happen. dialogue going on”.
from here and how we accelerate energy “I think we have reached a turning Federico says: “This time around, there
transition alongside climate change and point where there is no going back on the is recognition that hydrogen is here to stay.
sustainability,” says Federico. “This is a mindset,” says Federico. “And that is just Some of us are old enough to have seen
question being discussed right now – across as true with the consumer as it is with the hydrogen a few decades ago, but this time
every industry and sector including clients, generating sponsors involved in transitioning it’s taking off – even if we don’t yet know
journalists as well as my senior management the electricity mix. how it will evolve.
– and all eyes are focused on the next few “This is exciting. We have taken an “Look at the renewables market less than
years when significant developments are irreversible step in the right direction and the a decade ago. All we talked about was
going to have to be achieved globally by the only way to go now is the same direction how we couldn’t wait until we could attach
industry as a whole.” – and faster.” This is a sentiment that has industrial scale batteries to wind farms so
For Federico – and the wider infrastructure spread through the teams that Federico they can supply energy when the wind isn’t
/ energy market at large – this decade will leads at Societe Generale. blowing.”
prove pivotal if global environmental targets “For the oil and gas teams, they know the Hydrogen, Federico believes, is reaching
set for 2040 and 2050 are to be achieved. gas pipelines that today transport natural a comparable juncture and that with the
“This is the most critical decade for gas in one direction will continue to be entire community backing the likes of
sustainable finance and renewable energy. useful when some day they may transport hydrogen and carbon capture, commercial
If you look at the recent IEA paper, it hydrogen, and why not some day CO2 the viability is far closer than some may think.
estimates that as much as 50% of the other way so they can be re-injected under
technologies that will be applied to save the carbon capture structures,” he says. Embrace complexity
planet are either in prototype development “It is not a case of this or that team As for a final message to the market,
right now… or don’t exist,” he says. becoming an endangered species. On the Federico encourages people across the
“So this decade is going to be fundamental contrary, they are already thinking about sector to be ready to “embrace complexity”,
and 2021 and 2022 will represent for how to integrate an ESG roadmap into because it’s coming like a run-away train.
Societe Generale an acceleration across all everything they do. And that’s exciting. We “In the energy transition in years to
energy topics involved in energy transition. plan to be right there alongside the sectors come, we are unlikely to have a single
That includes renewable energy, hydrogen, we follow as they reinvent themselves.” magic bullet,” he says. “For example, in
digitalisation and the greening of all the United States in the first decade of this
industries – whether that be oil and gas, Geographic focus century, natural gas was critical in materially
metals and mining… you name it. As to where business will be driven, reducing emissions from the power sector
“We are looking at projects in green steel, Federico highlights that 70-80% of the as it switched away from coal.
attaching wind farms and solar parks to energy transition budget is expected to be “In the second decade, we have seen
mines, while also looking at renewable energy deployed in Asia. massive deployment of renewable energy
technologies that are not quite ready for prime “We have financed renewable energy globally and this now has sufficient
time – hydrogen and carbon capture. projects in something like 35 countries. Four momentum that it will (and must) keep
“This year will witness an acceleration of or five years ago, we were probably at 25,” going on its own.
everything we have done over the last few says Federico. “We are opening several new “My sentiment is that there will be no single
years. The pace is going to pick up and markets every year that are getting their feet magic bullet, rather a host of technologies
there’s no going back.” wet – whether that’s floating solar in Indonesia of varying and increasing complexity that
and Taiwan, or offshore wind in Vietnam. will provide the solutions we need across
Point of no return “We are seeing markets that have not multiple markets. And we’re all going to
This sentiment is reflected in IJGlobal historically been involved in renewables have to be ready to move with the times.
readership where currently the single embracing alternatives. For Societe “Complexity and pragmatism will rule the
most searched word on the website is Generale, Asia is a huge priority.” way going forward.”
Societe Generale is a founding member of the positive impact initiative steering group of the United Nations Environment Programme (UNEP).
Societe Generale is a French credit institution (bank) authorised and supervised by the European Central Bank (ECB) and the Autorité de Contrôle Prudentiel et de Résolution
(the French Prudential Control and Resolution Authority) (ACPR) and regulated by the Autorité des Marchés Financiers (the French financial markets regulator) (AMF).
Societe Generale London Branch is authorised by the Prudential Regulation Authority with deemed variation of permission and is subject to regulation by the Financial Conduct
Authority and limited regulation by the Prudential Regulation Authority. Details of the Temporary Permissions Regime, which allows EEA-based firms to operate in the UK for
a limited period while seeking full authorisation, are available on the Financial Conduct Authority’s website. Copyright: Getty Images. June 2021.
IJGlobal Awards 2020
2020
Gavin Williams are already seeing a lot of activity around Lewis McDonald
UK water and there are several assets in the
gas space.
“More widely in power and renewables,
we expect a trend towards platform
establishment, investing to continue. In the
super-competitive markets of renewables
and digital, a lot of investors – particularly
deep-pocket sovereign money – are looking
for more creative ways to find their way into
those assets.
“They know that they are the future
and they are fed up with being outbid in
auctions. This is where platforms come in…
where you internalise expertise, go further
back down the development curve – or
higher up the risk curve – developing the
capacity to build assets from scratch. For
many, this is a better option than waiting for
someone else to do it and then investing in
them. We see this developing at pace.”
HSF speaks from experience on this
front having just acted for CPPIB on one
such deal and on a transaction for another
Canadian pension fund that has yet to be
made public.
Lewis joins in: “As the renewables space
becomes increasingly competitive for
"With Net Zero all of a sudden brownfield and primary leases, it is causing
coming front-and-centre – companies to think differently about where
having been on the fringes of they want to compete. They are moving into
the development space, and even into other
people’s investment strategies – less obvious – businesses that might feed
for years – the demand off the broader trend.
now for clean power is “This includes the likes of companies "As the renewables space
that are developing technology or services
phenomenal." that feed into the underlying core trend of
becomes increasingly
renewables.” competitive for brownfield and
This trend includes the likes of hydrogen primary leases, it is causing
“Take, for example, the larger integrated and floating wind energy.
energy companies. They have accepted this “We are seeing a lot of interest in those,” companies to think differently
new reality and put it at the top level of their says Lewis. “Clients want to hear a lot more about where they want to
company strategies, incorporating it into about it from us, but those areas still need a
their visions as to what sort of companies lot of work at the government level to build compete."
they want to be.” business models and make them work.
A lot of our clients want to get involved
McDonald & Williams in shaping this transition to help create
It is this shift in the market that is driving investable business models.” Lewis adds: “The problem this creates
business for Hebert Smith Freehills and, As they say, the edges of the jigsaw are for us – and companies involved in this
while more traditional infrastructure and now complete… it’s just the middle that space – is that if they have traditionally
energy sectors remain vibrant, there is a needs to be filled in. looked at more conventional renewable
frisson of excitement over cutting edge “During the course of the next 12 months energy sectors, they now have to shift to
deals. we will see that picture being completed create value from different technologies…
“The course is set and we’re starting – certainly in the UK. Germany is also well that’s a different mindset and it’s incumbent
to see deals come through, proving this advanced,” says Gavin. “A lot of structural on us to converge our skills to make them
strategy is real,” says Lewis. money has come from the EU, particularly available to the client.”
Gavin adds: “Closer to home, there is to Spain and Italy, which comes with green And this plays to the strength and breadth
already a lot of activity around UK regulated strings attached. of the HSF team having a full suite of
assets, the conclusion of various regulatory “There is particular impetus for these experience tackling projects across multiple
reviews towards the end of last year has projects to become investible sooner sectors in numerous geographies.
reset the cost of capital expectations and rather than later because that’s where This leads one to think that 2021 (and
– for some investors – that will mean it is governments want to take their energy beyond) holds an exciting future for law
no longer part of their strategy. For others policies. But at the moment, they haven’t firms like HSF that position themselves
it means an opportunity to invest in the UK worked out the right risk allocation to crowd ahead of the curve in a constantly-evolving
as a well-regulated infra environment. We in private capital.” infra/energy market.
Quinbrook has built a reputation for staying Quinbrook’s diverse portfolio of cutting- David Scaysbrook
ahead of the curve in energy transition, edge technology investments puts it at
making moves before others and positioning the forefront of the accelerating energy
itself in newer markets, capturing that transition to achieve ‘Net Zero’ emissions
essential first-mover advantage. from the US energy supply system.”
It’s hard to keep doing that consistently Quinbrook’s win was based on 3 key
but that’s the challenge Quinbrook has investments, a green data centre joint
set itself - to become a leader in areas venture plus a record breaking solar and
that are relevant to its mission of cheaper battery storage project, and a large scale
renewables, decarbonisation and driving wind platform built from a startup.
Net Zero. The specialist investor formed a joint
It is for this reason that Quinbrook was venture (Rowan) with Birch Infrastructure
selected for the IJGlobal Awards 2020 to develop and commission new
Investor of the Year by an independent ‘powered land’ solutions for mission
panel of judges. As one judge said: “Given critical, hyperscale data centres that
the current emphasis on green energy, net take advantage of low-cost renewable
zero carbon footprint, and environmental power. David Scaysbrook, co-founder and
stewardship, Quinbrook’s engagement in managing partner of Quinbrook said: “This
the sector makes them the clear frontrunner was a good example of how we felt we
in this category this year.” could apply our developer DNA to capture
Other judges said Quinbrook had an new high growth opportunities. Even
“impressive portfolio of innovative green though we are a fund manager we have
"We wanted to continue to
energy and data projects, demonstrating mostly energy industry experts in our team. focus our core skills in new
leadership in what can only be significant We wanted to continue to focus our core asset creation by marrying
growth areas” and showed “clear skills in new asset creation by marrying the
and concise examples of sustainable needs of energy intensive industry with our the needs of energy intensive
investments”. developmental ability in renewable projects. industry with our developmental
And one judge said that due to “We aren’t data centre experts, but we
its investments in new infrastructure are highly experienced in development-
ability in renewable projects."
assets: “Quinbrook delivered direct and led renewable power solutions and felt we
measurable ESG impact across job creation, were qualified - if we could find the right was very sympatico with us - halfway down
preservation and training, carbon emissions partner - to go after this particular customer this path. They brought their data centre
reduction, environmental improvement, local segment undergoing huge growth in power experience and we brought our renewable
community financial and social benefits. demand. In Birch we found a partner - who energy experience. This is indicative of our
future direction in developing and supplying
The 690MW Gemini solar + battery storage project believed to be innovative and low cost zero carbon power
the largest solar-powered battery storage system in US history
solutions to energy intensive customers.”
Green data centres is a new thematic
for Quinbrook. It is the first transaction in
the area, setting the foundations for what
it believes will be many more investments
to come. There are over 20 sites in the
joint venture portfolio pipeline already and
Quinbrook and Birch are actively working
on 3 additional data centre projects in
advanced negotiations, one in Australia
and 2 in the US. “We are branching out into
not only enterprise and high-performance
computing but also dedicated block chain
data centres, another high growth sub-
sector we are increasingly interested in,”
says Scaysbrook.
Quinbrook launched Primergy Solar in The Scout Clean Energy’s Bitter Ridge Wind the epicentres of cheap power and we
2020 to acquire, develop and operate solar Farm construction was completed in 2020 believe this is where new green industry will
PV and battery storage projects in North be built”.
America with the $1.1 billion capex, 690MW “Australia is naturally endowed with a
Gemini solar + battery storage project competitive advantage to be an exporter
believed to be the largest solar-powered of products and commodities that can
battery storage system in US history. By be manufactured or processed with low
historic standards, Quinbrook’s Primergy carbon impact by using cheap renewables.
Solar went through the permitting process It has cheap and vast land mass, abundant
far faster than expected by taking advantage solar, wind and transport logistics enabling
of a Trump initiative called Fast 41. This law the competitive manufacture of green
requires all federal agencies to consider hydrogen, metals, ammonia and other green
new project applications in 12 months. So transport fuels. This changes the landscape
what could take 3-4 years actually got done and explains why we do certain things in
in less than half the time. Scaysbrook said: certain places and not others and who our
“We didn’t realise at the time that we were customers are or are likely to be”.
negotiating the biggest solar project in US “Last year [2020] 90% of all new
history!” power capacity added on the planet was
The Gemini project is also using a DC renewable so the next question is: what do
coupled system which uses an electrical we do with all that cheap clean power? We
configuration designed to add more want to substitute and electrify industries
efficiency and is one of the first DC-coupled that are still using fossil fuels, that is where
solar battery storage systems of its size in • completing construction of Scout Clean Quinbrook is heading,” says Scaysbrook.
the US. Energy’s Bitter Ridge Wind Farm in Scaysbrook explains that hydrogen is
A third standout deal for Quinbrook Indiana much like aluminium, with a lot of electricity
was Glidepath Power Solutions, a start-up • securing final US Government approvals effectively embedded in the end product
business that it acquired in 2017. At the for the Gemini Solar+ Storage project in so the bigger energy intensive projects will
time, Quinbrook was looking for a team Nevada gravitate to those locations that can produce
that had expertise in battery storage which • merging the Energy Locals and Energy it the most cheaply: “Texas and Australia
was a growing sector but still very nascent Trade distributed energy businesses have enduring competitive advantage
and risky. Fast-forward to 2020, Glidepath in Australia and hitting the 50,000 so these places will likely become
has grown to a portfolio spread over 19 US contracted customer connections target preferred host locations for the large scale
states and a near $5 billion potential capital manufacturing of green hydrogen as just
investment pipeline of battery storage A few big thematics that Quinbrook is one example. Green hydrogen is an industry
projects. focusing on in 2021 are foundation solar that will be like a bushfire, once it starts it
In February 2020, Glidepath announced and battery storage hybrid projects. Solar will rage!”
that it would complete development and and battery storage is disrupting power Regionally, Quinbrook tends to stick to
achieve construction readiness on one of markets because of the low cost of countries and markets it knows well - UK,
the largest portfolios of standalone battery renewable electricity they can generate, the Australia and North America - and has no
storage projects to date in New York State Gemini deal being a perfect example of this. current plans to venture outside of those
after receiving an incentive award from “We want to take our experience in territories. Scaysbrook says: “According to
the New York State Energy Research and the coupling of solar and battery storage EY, the US, UK and Australia are 3 of the top
Development authority (NYSERDA). and help energy-intensive industry to 5 to invest in renewable energy globally and
The portfolio consists of 4 X 20MW decarbonise through the supply of low cost we are already operating at scale in each of
battery storage projects which would renewable power,” says Scaysbrook. them. It’s a big decarbonisation challenge
more than double New York state’s current “Another key area that we want to in each of those 3 markets over the many
storage capacity, providing a cleaner, more enhance our expertise in is the application decades to come. These countries are so
efficient and lower-cost alternative to the of digital and advanced data analytical opportunity rich that we don’t really need to
fossil fuel plants that presently provide technologies to better differentiate our go off frontiering.”
peaking power and ancillary services. projects and boost the value of our Given that Quinbrook has just 20
Quinbrook’s 2020 goals and looking infrastructure assets. This is where we investment professionals globally, it certainly
ahead will focus on the application of machine- gets a lot done! “We haven’t missed a beat
“In 2020, most if not all of the goals learning and artificial intelligence to optimise because of COVID-19 given the continuing
we set for the year were achieved,” says the dispatch and management of our velocity of our work, and in fact our workload
Scaysbrook. Those goals included: assets. This is where we think the market is has likely doubled in intensity” says
• fully allocating the Low Carbon Power heading and is consistent with our role as a Scaysbrook. “We want to continue to move
Fund by the end of 2020 ‘hands on’ active asset manager”. into smarter areas of the market offering
• getting the UK flexible power portfolio to Quinbrook is also looking at green fuels better returns before our competition, we
scale and hitting the 300MW target size and green hydrogen production - both aren’t interested in doing the biggest deals
threshold areas that it is monitoring closely because for the sake of it although we’ll continue to
• diversifying into a new sector: they are areas that it feels will grow and do benchmark transactions or precedent-
management of flexible power assets mature in different countries at different setting deals if they make sense - it’s really
and demand response in the UK by times. “Australia and certain states in the about staying ahead of the curve and trying
acquiring Flexitricity towards the end of US that have a strong endowment of always to be the best investor we can be for
2020 renewable energy resource could become our clients.”
Quinbrook's North American investments represent a diverse array of portfolio companies and projects spanning
onshore wind power, solar PV, battery storage and decarbonization solutions for hyperscale data centers.
Quinbrook is pleased to acknowledge the recognition by its industry peers of the team's efforts to progress the
energy transition through the creation of new and impactful energy infrastructure.
Signatory of:
Quinbrook is not a paid subscriber to IJGlobal nor did it pay as a condition of eligibility. The awards are not indicative of future performance. IJGlobal awards
are made based on nominations by market participants, including Quinbrook, and assessed by a panel of independent judges comprising financial market
professionals, academics and independent experts. Quinbrook was the only firm designated as ‘2020 North American Investor of the Year’ among a group
of four investors considered by IJGlobal’s expert panel in this category.
IJGlobal Awards 2020
2020
Fitch had an outstanding 2020, with its portfolio and provided credit views.” Cherian George
global infrastructure & project finance team With ESG, Fitch is currently the only
consolidating its market leader position by ratings agency with an integrated,
actively monitoring the performance of 900 comprehensive, systematic and credit-
transactions globally and adding 60 new focused approach showing how ESG factors
issuers to its portfolio. affect credit ratings from the sector to entity
But what made Fitch really stand out in and transaction level.
2020 was its response to the pandemic and In the global infrastructure sector, Fitch
its ESG leadership: has 4,550 unique data points capturing the
• In infrastructure, Fitch had 569 investor impact of ESG factors in its credit views.
interactions globally, including 102
investor roundtables, 73 Fitch-hosted ESG leadership
webinars, 9 conference presentations Given the importance of ESG in investing
and 244 one-on-one investor meetings; and to governments and society at large,
• It was the only ratings agency to provide Fitch has enhanced transparency in this
complimentary access to a dedicated space over the last few years. “Our ratings
Coronavirus website featuring research, criteria incorporate all the major aspects
multi-media content and webinars on of the risks associated with transactions
Fitch’s perspective on the credit and in project finance and within each risk are
economic impact of the pandemic. ESG elements such as building in sensitive
areas, the carbon footprint of projects
Cherian George, global head of and the importance of governance”, says
infrastructure & project finance at Fitch, George. "The pandemic and the
said: “Our response to Covid-19 has been Fitch has created a system of providing shutdown of the global
excellent. We reviewed our 900 ratings relevance scores where investors can
globally in 2020, and multiple times with connect ratings criteria to ESG elements
economic threw a curveball at
more than 50% in the transport space. and risk associated with it. “We score them us. However we have such an
Given that this was the sector most on a scale of 1 to 5, where 1 has little experienced team that they
impacted, from March 2020 onwards relevance and 3 has relevance but won’t
we systemically went through the entire have a material impact meaning it won’t were able to respond very
quickly with strong analytics."
During 2020 Fitch had 569 investor interactions globally, including 102 investor roundtables,
73 Fitch-hosted webinars, 9 conference presentations and 244 one-on-one investor meetings
Stress-testing
The focus for Fitch in 2020 was to improve
the quality of its products, increase
transparency, continue with ESG leadership
and build out the team further.
“The pandemic and the shutdown of the Digital Infrastructure “2021 has been a continuation of 2020,
global economic threw a curveball at us”, While digital infrastructure is not a new with a focus on even better products,
says George. “However we have such an sector, Covid-19 has highlighted the enhancing the quality of our research and
experienced team that they were able to importance of this asset class, particularly asset performance information to provide
respond very quickly with strong analytics. for governments to equip the population value-added analysis to the market. There
A great example of this was in March 2020 with access to networks. are legacy sectors that we continue to focus
when we knew we had a problem, we One notable transaction Fitch worked in on but in our space people are always
scanned all the areas we cover quickly, and this sector was SummitIG’s high capacity innovating and coming up with new ways
commented publicly to the market, concluding network of fibre optic cable assets in of doing things which requires us to be one
that transport would be the most impacted Virginia. Fitch assigned A-, BBB- and BB- step ahead in our thinking.
and that contracted projects would be less so ratings to 4 series of notes, totalling $225 “We say what we do, and then do what
because of the stability of counterparties.” million. The transaction, which replicates we say - both are important.”
Fitch then began looking sector by sector, structures that have been used for cell tower George says that Fitch will continue to
and came up with stress tests. It was the only and data centre financings, was a landmark focus heavily on renewables, an area of
ratings agency to publicly disclose coronavirus first financing of its kind of fibre assets. tremendous strength globally as we rate
stress tests across transport, in every region Fibre remains an emerging infrastructure transactions in every region; in developed
and in every sector. “To this day, I haven’t seen asset class with the SummitIG transaction and developing markets.
any other agency do that”, says George. being the first North American non-recourse “Other area of focus for us are emerging
George added that a year later, Fitch’s fibre bond financing since Fitch rated the technologies and sustainable fuels in
views have “stood the test of time”. Kentucky Wired Infrastructure Company P3 the energy transition mix. Batteries and
“Fitch doesn’t make blanket decisions, in 2016. green hydrogen technologies and cost
every market is different, every region is Kentucky Wired and SummitIG transactions considerations are evolving as we speak,
different, and you need to make selective were very different in that Kentucky Wired and consequently are areas we seek to
decisions based on the conditions there. was an availability-based P3 project that improve on,” says George.
Airports unsurprisingly had a negative outlook didn’t feature market or re-contracting risk “The Middle East is also growing
with some downgraded and toll roads to while SummitIG transaction did, albeit significantly with energy, transport, social
a lesser degree. Seaports surprised us all. largely mitigated by its strong position in an infra and sports transactions emerging.”
They outperformed any historical benchmark important market and high barriers to entry. George adds: “We are a global
because coronavirus does not affect goods.” company with global presence but
Fitch also put in place quarterly global Staying one-step ahead we are very conscious of the fact that
Covid-19 trackers to show traffic trends, George believes that infrastructure, energy local considerations make a difference
region by region relative to infection rates. and digital investments are growing at and having people on the ground who
“The market found these macro and micro a tremendous pace with not just new understand that better allows us to provide
perspectives throughout the year very construction, but M&A activity, refinancing the market with a complete and transparent
valuable”, says George. and restructurings. view of credit risk.”
6%
9
7
3
94%
Spring-boarding out of a hugely successful located close to Jacqueville, some 40km Mukund Dhar
2020 in which White & Case was crowned west of Abidjan, using highly efficient
African Legal Adviser of the Year in the combined-cycle turbine technology.
IJGlobal Awards, the international law firm Another landmark deal for White & Case
is gearing up to cement its position as the was the MUOA expansion financing for
market leader. Compagnie des Bauxites de Guinée. This
The independent panel of judges for the involved a 40-year tie-up between the
Africa session of the IJGlobal Awards 2020 Republic of Guinea, aluminium producer
singled out White & Case for plaudits based Alcoa, global miner Rio Tinto and alumina
on a “really interesting selection of deals”, and chemicals company Dadco and the
recognising that “getting any project finance owner and operator of a bauxite mine
done in Africa is hard, so having so many and associated rail and port complexes in
deals is impressive”. Guinea. White & Case advised the lenders
Another judge said that “White & Case – IFC, the US DFC, BNP Paribas, Credit
demonstrated a real depth of expertise Agricole, ING, Natixis and Societe Generale.
and led in complex and challenging And that’s just scratching the surface for
transactions”, while another saluted a the firm’s activity across the continent.
“significant scale of projects” including Mukund Dhar says: “We are very pleased
“complex LNG projects that are difficult to to have been awarded IJGlobal Legal
close from a legal perspective”. Adviser of the Year for Africa. We feel it
Yet another judge said: “It is clear that recognises the work that our teams from
White & Case added significant value across the globe have done involving
towards making these transactions a projects in Africa over the last year. It
success. I particularly liked the Compagnie reflects our experience and expertise, our
des Bauxites de Guinée MUOA expansion long standing commitment to the region
financing in respect of the proactive and the investments we have made into our
contribution towards incentive structures Africa practice over a number of decades.
built in to promote conservation efforts at “This recognition is important for us in that
the national park.” projects and project finance work is very
These comments from the awards judges much a part of White & Case’s DNA and we
cap off a busy year for White & Case during have always been and remain committed to
which it was the single most active legal working in emerging markets. In particular,
adviser in the IJGlobal legal adviser league the work we have done in Africa for the last
tables for Africa, securing a 17.7% market 40 plus years brings together quite nicely
share across the continent and leading its the firm’s expertise, experience and well-
closest rival by a considerable margin for earned reputation in the world of projects
deals to have made it to financial close in and infrastructure finance.
the 2020 calendar year. “Not many other firms active in Africa
White & Case success in 2020 spanned can point to a practice that is as diverse, in
multiple regions, industries, sectors and terms of transactions and geography, as the
involved a host of practice areas and offices one we have developed. Whether that be
from across the globe. oil and gas, mining, power or infrastructure;
White & Case acted for the lenders on work for sponsors, governments, lenders
the landmark Nigeria LNG Train 7 financing, or investors; activity across anglophone, "This recognition is important
a deal that brought a host of local and francophone or lusophone Africa, we have a
international banks to the table with an unique combination of capabilities that gets
for us in that projects and
ECA-backed US$3 billion multi-sourced deals done. project finance work is very
corporate financing package for the Bonny “We see a clear, sustained and growing much a part of White & Case’s
Island LNG Complex. The firm also played emphasis on projects and project finance
a pivotal role on the Atinkou deal – winning in Africa going forward,” says Mukund. “A DNA and we have always
IJGlobal Editor’s Choice Award 2020 for big part of the value we add for our clients been and remain committed to
Africa – advising its shareholder Eranove on is the support we give them – not just from
the structuring and €404 million financing London, Paris or the Middle East, but from
working in emerging markets."
of a 390MW natural gas-fired power plant on the ground. For us, these centres are
in Johannesburg and Cairo, and we have White & Case acted for the lenders on the landmark Nigeria LNG Train 7 financing
been building capability there for years. We
reinforce our own experience with that of
leading independent law firms from across
the continent – we work regularly with them
and genuinely think of these firms as friends
and partners in delivering excellent work for
our clients.
White & Case was one of the first
international law firms to open in South
Africa and it opened an office in Cairo in
2016. The Johannesburg team has grown
in recent times with the arrival in May
of market leading debt finance partners
Lionel Shawe and Sibusiso Zungu. The two
lawyers along with their team joined from
Allen & Overy and greatly enhance White
& Case’s pan-African offering. “And our
Cairo office has also really knocked it out
of the park over the past few years – truly
impressive results given that the office
opened only in 2016,” says Mukund.
SMBC’s activities in Latin America are infrastructure space are Mexico, Brazil and David Gonzalez
split across all the main countries, but have Chile. It’s a little less so in Colombia and
greater concentration as follows: Peru but those could pick up in the near
• Power and Renewables – active portfolio future,” says Gonzalez.
in Chile and Mexico
• Natural Resources (FPSOs) – active in Looking Ahead
Brazil and Mexico For this year and the next, SMBC will
• Infrastructure – active in Chile, Peru and continue to focus on growing the business.
Colombia with the refinancing of some “We want to make sure that we are
4G toll roads and financing of the 5G leveraging our global relationships that are
programme active in the Americas. We have sector
knowledge, but as new clients come to the
“The pandemic hit us a little, though the U.S. for new business and higher returns,
projects didn’t really stop, but continued,” we need to continue to provide seamless
says Gonzalez. Some of the key projects the solutions,” says Kreutz.
bank worked on include: SMBC is looking at new infrastructure
• Lima Airport Expansion sectors, like cold storage and street
• Buzios 5 cleaning, but as these sectors have not
• Huemul really taken off, the focus for now is to build
• Marlim 1 on growth areas like infrastructure, fibre,
• Autopista del Norte digital and district heating and warehousing
• Transantiago Electric Buses facilities around renewables.
• Tastiota “District heating has become the new hot
topic both on the M&A and P3 side, so we
“We are now focusing on energy transition are looking to grow that business. We also "We are now focusing on
as well as hydrogen transactions. SMBC want to work on more deals with an ESG energy transition as well as
Group has sustainability initiatives, Green X angle,” says Kreutz.
Globe 2030, to deploy $300 billion globally Gonzalez adds that SMBC continues
hydrogen transactions. SMBC
in green financing by 2030. LatAm and to expand its outreach and capabilities Group has sustainability
North America teams are committed to into new markets with innovative financial initiatives, Green X Globe 2030,
helping achieve that goal,” he adds. products and initiatives. “SMBC expanded
SMBC is also looking at digital its local currency lending capabilities to deploy $300 billion globally
infrastructure in the region. In 2020, it through the team in Brazil by closing in green financing by 2030.
refinanced Ascenty in Brazil, one of Latin BRL-denominated deals and utilised its
America’s largest data centre providers, non-bank arm SOFOM in Mexico to lend in LatAm and North America
with 14 data centres in operation and/ Mexican pesos.” teams are committed to
or under construction and it financed the “Latin America has huge digital
Edgeconnex expansion in Chile. “The infrastructure needs so this will continue to
helping achieve that goal."
markets most active in the digital be a focus area for us,” adds Gonzalez.
Some of the key projects the bank worked on included the Lima Airport Expansion
Romain Papassian world’s largest. That was an ultimate ESG Juan Francisco Toro
project because it comprised a project
that provided 100% renewable baseload
power. Astris is just continuing that work on
projects that incorporate ESG.” Collins then
points out that recently many clients are
putting together portfolio strategies where
there is a combination of wind and solar. “This
allows you to provide a better profile of energy
throughout the year because you can combine
the solar resource with the wind resource.”
In 2020, Astris was able to close several
refinancings and M&A transactions while the "This is where Astris comes in
greenfield market slowed down (traditionally
"We hope our clients see us a big market for the firm) and this focus will because we bring our experience
as true partners at the end of continue for the rest of 2021 and beyond. on working with private investors
those bumpy roads we often However Papassian says that the firm can
to obtain efficient financing for
already see that greenfield opportunities are
have to take." picking up pace across both energy and these projects."
infrastructure.
A new area of interest is digital
of international project finance banks infrastructure. However, while this is still Astris is increasing activity in North
taking full advantage of attractive market largely a growing area in Latin America, America (both US and Canada) and actively
conditions and the perceived risk reduction Astris believes that most of the transactions ramping up the team in DC to pursue
for the assets post-COVID. so far have been corporate driven which is opportunities in the US. It has also been
Romain Papassian, director at Astris, a space it does not operate in actively. “We investing in Southeast Asia for the last 4-5
commented that 2020 was a good are actively exploring ways project finance years and now has offices in Singapore
reflection of the team’s commitment to – the traditional backbone of our work -- and Ho Chi Min City. “It’s a challenging,
the region as a whole: “We are probably can be applied to the digital infrastructure new region for us, but we’ve been quite
the only independent advisory shop with space,” says Collins. successful in closing landmark transactions
a long-standing presence in the region, Another sector of interest for Astris is in Vietnam for instance, and building
where we patiently built a strong team, e-mobility, which is picking up pace in on those first closings South East Asia
thriving not only to support our clients in the region. “This is an area we want to be continues to be a big focus for us,” says
the largest economies, but also in the less more involved in, as it sits at the crossroads Papassian.
served markets where our work makes a between our long dated track record in “Our clients value the global footprint of
big impact, we believe, allowing our clients transportation in LatAm, and our expertise in Astris not so much in our ability to advise in
to close ambitious and often transformative battery-plays and storage solutions acquired different markets across the firm but in our
projects.” through our renewable energy practice”, ability to export our toolbox to new markets,
Papassian adds that Astris’ policy is to says Papassian. where our clients expect us to leave no
very much “act as a rigorous, resourceful Juan Francisco Toro, director at Astris, stones unturned to raise financing beyond
and patient partner throughout often long adds “These projects tend to be very the traditional go-to solutions. We are very
and complicated development and financing capital-intensive and while you see savings proud of the few notable firsts we closed in
processes which are known to pass by ups in the future, selling the project at the start LatAm in particular, which facilitated more
and downs in the region: we hope our clients is a little tough as governments tend to be investment in the region,” says Papassian.
see us as true partners at the end of those cautious with their scarce resources – even Going into H2 2021, Astris is confident
bumpy roads we often have to take”. without pandemic-related expenses. This is in the resilience of the pipeline of projects
where Astris comes in because we bring our across the region, in spite of increasing
Focus areas experience on working with private investors to political turbulence. Collins adds: “We
While ESG plays a big part in the way obtain efficient financing for these projects.” can’t consider ourselves as post-pandemic
investors structure projects, Astris has because many countries in the region are
been incorporating this thematic for many Global Reach still struggling with the virus, but if I look
years, as renewable energy is a core area The Latin American, Central American and to 2022, I am more optimistic that projects
of expertise of Astris, not only in LatAm but Caribbean markets have always been a – greenfield in particular – will return to a
across the world (IJGlobal’s League Tables big focus for Astris and will remain so for normal pace.”
rank Astris #2 globally in renewable energy, the foreseeable future. Astris has offices Toro adds: “We are and will remain
with 16 closings in 2020). “We know that in Mexico City, Sao Paulo, Bogota and committed to the development of the
some transactions get the ESG stamp and Washington DC, from where the Astris team infrastructure and energy markets across Latin
some don’t. But we’ve worked on numerous covers the Americas market. The other America, where we believe our positioning
renewable energy projects that incorporated key pole for Astris is in Europe where the as an independent adviser can truly make a
environmental and social benefits before it team is particularly active in the renewables difference to continue supporting our clients
became a hot topic,” says Collins. space. The firm’s European activity is in the most efficient manner across all
Collins adds: “A good example of this is handled from Paris, Madrid and Hamburg. possible sources of financing we will need
the Cerro Dominador Solar CSP project from Astris’ business is very much in expansion to mobilize to sustain the region’s path to
2018 in Chile – the region’s first, and the mode in its two core markets. full economic recovery.”
2020
Winning companies
2020
Global winners
Winners of the IJGlobal Awards in the “global category” Winners in the Global category are:
are taken from an amalgamation of the five judging • Global MLA – Societe Generale
sessions from around the world. Winners tend to have
• Global Bond Arranger – Citi
taken the trophy from at least two regional awards in their
category as well as placing highly in other regions. • Global Legal Adviserr – Milbank
These judging sessions – this year – were staged • Global Technical Adviser – Lummus
virtually for Europe and Africa, Middle East and North Consultants International
Africa, Asia Pacific, North America and South America.
Next year we intend separating the African judging
session for it to have its own group of adjudicators.
IJGlobal believes it stages the single most
transparently judged awards that are peer review and
lend them greater credibility than any other in the
international infrastructure and energy space.
Not only do we identify all the judges on our panels,
we recuse panellists – all of them established and
internationally-recognised industry figures – so that they
cannot influence judging on categories where they have
an interest.
We believe that the result of this rigorous process is
that winning an IJGlobal Award is true recognition of
industry achievements from your peers.
Global MLA
Societe Generale
Having been voted winner in Asia Pacific as Allan Baker Federico Turegano – Societe Generale
well as Europe, Societe Generale won by global head for natural resources, energy
clear points against MUFG Bank to pick up and infrastructure – says: “There is huge
the international trophy for Global MLA of pride for what the teams have achieved in
the Year at IJGlobal Awards 2020. 2020. The awards you have bestowed on
Societe Generale was the clear winner us are very flattering. The amount of work
in APAC and Europe as well as scoring we were able to achieve for our clients while
consistently with the other independent working from home – dividing time between
judging panels to give it the global award work and family – has been mind-boggling.
ahead of MUFG which won for North and “It was a spectacular year for the
South America. business as far as advancing the topics of
The European judging team celebrated: renewable energy and transition from coal
“SocGen’s broad range of transactions, in to natural gas in some markets, but also on
particular in renewable energy while also the human side. I am deeply impressed by
being impressively active in digital and what was delivered in 2020 under extremely
displaying a level of involvement that comes difficult circumstances.”
across as a true MLA leader.” Allan Baker, global head of advisory and
Another judge said it was “a difficult submission showed a wide range of project finance at Societe Generale, said:
decision in a very competitive field”, projects in which they were involved.” “It has been an incredible and successful
but that “SG went ahead on account of “I too was impressed by the diversity year for Societe Generale’s energy and
involvement in a variety of sectors, and the of their portfolio,” added another APAC infrastructure teams around the world as
significant role it played”. One added that judge. “From Taiwan’s first floating solar – our focus on developing a strong integrated
Societe Generale had been involved in a the 180MW Changhua Lundong floating global presence in our core businesses has
“good selection of large-scale renewables solar PV plant – and the massive Ichthys enabled us to build on our existing strengths
and fibre transactions, delivering large LNG and Roy Hill iron mine refinancings to to really add value to our key clients on a
transactions in emerging sectors”. Taiwan’s offshore wind market and India’s wide variety of ground-breaking transactions
Meanwhile on the APAC judging team, solar portfolio financing market… SocGen as they themselves seek to push boundaries
one of the panel celebrated the diversity of had an impressive mix of markets and and move into new countries and new areas
its market involvement: “Societe Generale’s sectors.” of the clean energy and digital economy.”
• North America Power deal of the year (US) – CPV Three Rivers
Energy Center
• North America Oil & Gas deal of the year (US) – Whistler Gas
Pipeline
Milbank.com
New York | Los Angeles | Washington, DC | São Paulo | Frankfurt
London | Munich | Beijing | Hong Kong | Seoul | Singapore | Tokyo
IJGlobal Awards 2020 Europe winning companies
2020
Europe winners
The Company section of the IJGlobal Winners in the Europe companies category are:
Awards 2020 was particularly • European financial adviser of the year – BNP Paribas
challenging this year for Europe given
• European legal adviser of the year – Herbert Smith Freehills
an alarming uptick in submissions on
previous years. • European MLA of the year – Societe Generale
However, the judging panel • European technical adviser of the year – Arup
waded through them and gave their • European sponsor of the year – SSE
experienced opinion to provide us with
• European model auditor of the year – BDO
an excellent array of winners.
The coming pages are devoted to • European investor of the year – Allianz Global Investors
the victorious organisations who were • European bond arranger of the year – Santander
active across European infrastructure • European public sector award of the year – Entwicklungsagentur Region
and energy deals that closed in the Heide AöR, Germany
2020 calendar year.
• European corporate trust if the year – Deutsche Bank Corporate Trust
Congratulations to all winners… • European ESG coordinator of the year – Vauban Infrastructure Partners
• European credit insurer of the year – Assured Guaranty
European financial adviser of the European legal adviser of the year European MLA of the year
year – BNP Paribas Herbert Smith Freehills Societe Generale
The financial advisory award for Europe was Societe Generale won against considerable
won by BNP Paribas with the judging panel competition to scoop the IJGlobal MLA of
full of praise for its performance over the last the Year Award for Europe having closed an
calendar year. The IJGlobal legal award is one of the most impressive array of deals across the region
One judge identified BNP’s involvement in vigorously contested in each of the regions in the 2020 calendar year.
Northvolt (winner of a couple of awards) as and one of the hardest to judge, making One of the judges admitted that it was
“very innovative” while another celebrated its them one of the most prestigious to win – challenging to identify a stand-out winner
“very strong number of projects, and focus given the amount of competition they face given the level of competition, saying it was
on renewables”, with one more saying: from an impressive peer group. “a difficult decision in a very competitive field”
“BNPP had a strong mix of deals, with some Herbert Smith Freehills won over the but adding: “SG went ahead on account of its
extremely high profile / jumbo transactions independent judging panel to scoop IJGlobal involvement in a variety of sectors.”
in the mix.” Legal Adviser of the Year for Europe with Another identified Societe Generale as
And, while it should not be included one lauding HSF’s 2020 calendar year the winner for having worked on a “good
as awards are judged purely based on performance as an “impressive diversified selection of large-scale renewables and
submissions, but one judge said: “Having portfolio of successful deals”. fibre transactions while also delivering large
been on the receiving end of BNPP as One of the judges said: “HSF had a transactions in emerging sectors”. This
a financial adviser, they are far stronger strong year and closed some interesting view was supported by a judge adding the
than most of their peers – certainly in the deals which made them the top choice for lender had an “impressive list of projects
banking suite – and are starting to compete me. The firm had a good mix of traditional and strong focus on green projects.”
with the boutiques and specialist advisers.” infra and transition transactions with the BP Yet another commented: “SocGen’s
BNP Paribas’ energy, resources and Equinor deal – a key strategic step for BP – broad range of transactions – in particular
infrastructure teams in 2020 advised and an interesting interconnector.” renewables and digital – and level of
on numerous renewables transactions, Another added: “HSF stood out in a very involvement marks it out as a true MLA
notably Dogger Bank A&B in the UK – competitive category as a law firm with a leader.”
at 2.4GW, the biggest project financed great variety of transactions and multiple Societe Generale worked on numerous
offshore wind project in the world – that sectors and geographies. The submission landmark deals that feature in later pages
is currently being developed by SSE and clearly set out the key challenges and how having played pivotal roles on the likes
Equinor. The advisory team supported HSF worked with clients to resolve those to of Northvolt, Fécamp offshore wind farm,
the sponsors from May 2018 in securing deliver successful projects.” Dogger Bank A&B… and many more.
62% of total capacity awarded CfDs in the Gavin Williams, HSF global co-head of Allan Baker, global head of advisory
2019 AR3 competitive auction based on infrastructure, says: “The last year has been and project finance at Societe Generale
the lowest subsidy levels achieved in the exceptional for our clients and our teams as it Corporate & Investment Bank, said: “This
UK to date. has been for everyone around the world. We was a year marked by strong deal flow,
The team also advised on Fécamp, found ourselves kept exceptionally busy by but also significant competition in the
the largest underwritten transaction in project sponsor and investor clients alike. The lending space, so we are very happy to be
the power sector in France, which was pandemic, climate change and digitalisation recognised as the leading MLA in Europe,
underwritten during lockdown in spring. were to the fore in every conversation. reflecting the strong contribution of all of
This 497MW project is being developed by “Our teams continued to support clients with Societe Generale’s sector teams.
EDF Renouvelables, WPD and Enbridge. their major projects – including HS2, Hinkley “We are very proud to have delivered many
Syndication launched post-closing, with Point C and Sizewell C – adapting to the innovative financing solutions to our clients
a successful result achieved in early changing development environment brought across Europe, whether in clean energy with
September. about by the response to the coronavirus. In offshore wind underwriting and innovative
When approaching energy transition, the PPP space we worked on several high- geothermal and PPA-backed deals.”
BNPP was active in supporting innovation, profile portfolio trades as well as the A465 He added: “In the infrastructure business,
advising Northvolt for the unprecedented project which was structured under the SG has consolidated its position as a leader
non-recourse financing of the construction latest evolution of the PPP model in the UK. in the digital transformation space and in
of one of the largest greenfield battery “On the capital formation front, clients particular fibre networks – we closed deals
manufacturing plants in Europe (16GWh). have been particularly active raising in France, Italy, Germany and the UK as
Romain Talagrand, EMEA head of power funds focused on energy transition and well as underwriting an unprecedented
and renewables and BNP Paribas, said: digitalisation in one form or another. Our transaction in France or the industrial sector
“Opening up France to offshore wind, funds team has been involved in several with the closing of the ground-breaking
raising debt for the largest ever renewable listed vehicles in infra and renewables and Northvolt Gigafactory, a first for Europe.
energy project and devising innovative on the closed-ended side we continue “This success underlines Societe
deals like Europe’s first battery gigafactory to see a growing number of continuation Generale’s drive to innovate and deploy our
all show our determination to help drive vehicles being brought into play around balance sheet in support of core clients
forward the energy transition in Europe.” certain types of assets.” across all sectors.”
arup.com
European sponsor of the year European model auditor of the European investor of the year
SSE year – BDO Allianz Global Investors
Project sponsors – the ones who really drive Model audit is often the unsung hero of The 2020 award for European investor
activity across the market – tend to be fairly many a project finance transaction… but goes to Allianz Global Investors with the
laissez-faire about submitting for awards. not at IJGlobal where each year we single independent panel of judges selecting
Possibly they have other things to do… but out the best performer, chosen by our it over the shortlisted rivals based on an
that doesn’t stop IJGlobal from creating its independent panel of judges and based impressive year of activity.
own category to celebrate their successes. purely on submissions. One of the judges at the European
This year, the IJ editorial team pulled This year the winner for Europe is BDO virtual judging session said of AllianzGI
together a shortlist of truly impressive and the judges singled it out for praise that it displayed “significant references
sponsors to put in front of our judges to saying it was “a solid choice” and that for 2020 and had some interesting deals
identify the most impressive with an eye to it “showed a real understanding of the that sets them apart… deals like battery
winning the IJGlobal European Sponsor of transactions as well as range and scope”. trains”.
the Year Award 2020. Another celebrated it for having an Another judge celebrated “a good mix
Judges pored over the submissions and “interesting range of projects” and had of transactions” while one more saluted
finally chose SSE as the worthy winner with shown “innovation in the Northvolt deal AllianzGI for “innovation and challenges
one saying it “deserves recognition for the which gives them the advantage”. faced, such as Covid-19 impact on the A88”
very impressive Seagreen project”. Two judges were won over by BDO’s and another pointed out “the XMU example
Other judges added that SSE’s “move submission which was described as is also a good one in promotion of green
towards renewable energy projects is so being a “very comprehensive submission, agenda”.
important that it should be rewarded” and demonstrating a real understanding of the The final judge comment was: “While a
another said it was a “strong sponsor challenges involved with the showcased mid-market player, clearly they have their
transitioning to renewable energy” with transactions” and the other adding it was “a eye on where the market for Core+ and
“interesting and topical transactions”. most impressive submission, demonstrating Core++ is moving to.”
SSE has a portfolio of around 4GW of they understand more than their immediate One deal that caught judges’ eyes was
onshore wind, offshore wind and hydro, role and were fully on top of the transactions Project Pelayo which involved the financing
and its strategy is to drive the transition they were involved in”. of a 42MW portfolio of 14 Spanish PV solar
to a net zero world through world-class Among the many transactions BDO parks that have been operational since
development, construction and operation of worked on across Europe, it is notable for 2008-12.
renewable energy assets. having advised on a slew of the deals to Having financed the initial portfolio
The organisation aims to treble its have won awards in the coming pages. back in 2017 when it was nine-strong, in
renewable energy output from 2019 levels For just a taster, BDO acted as model December 2020 the financing package was
to 30TWh by 2030, making a significant auditor on the A465 which saw the first enlarged and amended to refinance project-
contribution to decarbonising the power deployment of the MIM procurement model specific bank debt at the five plants that
sector and achieving net zero emissions by in Wales; the landmark Northvolt lithium-ion have since been added.
2050. battery manufacturing financing in Sweden; XMU also elicited comment given the
SSE owns nearly 2GW of operational and the G.Network acquisition which gives assets being financed were 55 battery-
onshore wind capacity with more than 1GW it exposure to the burgeoning fibre optic electric-powered trains to be operated in
currently under development. Its 1,459MW space. the State of Schleswig Holstein in northern
hydro portfolio includes 300MW of pumped Kirit Mistry – partner and head of model Germany. The borrower will purchase the
storage and 750MW of flexible hydro. assurance, financial services for project trains throughout a 4-year construction
Meanwhile its operational offshore wind finance at BDO – says: “It is a great honour period and the trains are then leased to
portfolio consists of 579MW across three that the quality of our model assurance several train operating companies to operate
offshore sites in UK waters, two of which it work has been recognised across a for at least 28 years.
operates on behalf of joint venture partners. number of regions and in particular, our Claus Fintzen, chief investment officer
It was deemed worthy of the award experience and understanding of complex for the infrastructure debt team at AllianzGI,
primarily based on the 1.14GW Seagreen project financings and related modelling said: “We are delighted to be named
Alpha and Bravo Offshore Wind Farms issues and risks, which has helped us as European Investor of the Year. While
which reached financial close in early June provide the necessary assurance to senior 2020 was a challenging year for us all,
2020. lenders, sponsors and investors over many the structure and broad set-up of our
Not only did it reach financial close years. platform meant we were well equipped to
between two peaks of Covid-19 cases in “The experience, commerciality and support deals across various risk categories
the UK, only 42% of the energy generated pragmatism of our dedicated team – including XMU and A88.
at the wind farms has been awarded combined with our ability to provide “This year, we see sustainability and
subsidies. As a result of this uncertainty, specialist local input with the global reach balance sheet repair following the pandemic
the gearing was skewed to be heavily of BDO’s international network – allows us as the key topics and remain sharply
ECA-backed with bank debt only covering to support the most complex, high value focused on where the market is moving,
the secured contracted revenue and equity and strategically-important project finance ultimately cementing AllianzGI as a force to
footing 58% of the bill. deals.” be reckoned with in the market.”
The IJGlobal Public Sector Awards prove to knowledge – thus potentially allowing a
be an annual chore for the IJ team as we multiplier effect on future transactions.”
tend to write these ourselves… because Another judge identified the development
rarely people put forward such bodies agency as providing “an example of where
(basically, not themselves) for plaudits. public sector support is really necessary
For this year, the IJGlobal editorial team to kick start a new sector” with another
identified a number of European public bodies adding that “the complexity of this project
that we believe delivered interesting agendas, and the number of JV partners to get this
judging them not on deals closed rather the done is impressive”. It was also billed as “an
potential they are bringing to the market. important test bed”.
Once the judges had altered their stance This was joined by comments from
from making decisions based purely on a judge who was “impressed by the
closed deals from the 2020 calendar year, innovation of the hydrogen project” saying
they warmed to the subject and threw it was an “interesting and challenging
their (almost unanimous) weight behind pathfinder project for green hydrogen which
Entwicklungsagentur Region Heide AöR in may form a model for other developments”.
Germany. in making progress towards the green The Westküste100 offshore wind-to-green
Their choice was based entirely on agenda. This pathfinder project, while small, hydrogen project in Schleswig-Holstein,
the sterling work the public body had is a giant step – in some ways – toward northern Germany, was the first green
done to drive the adoption of hydrogen in showcasing the challenges of hydrogen hydrogen project to secure financial backing
Germany alongside the creation of a hub to transactions and what is needed to from the German government. The project’s
encourage its proliferation. overcome them.” JV H2 Westküste has a 5-year mission
One of the judges said: “Hydrogen is A judge added: “Involving a large number to build a 30MW electrolysis plant at the
the newest sector with significant promise of institutions in the deal gives market regional refinery Raffinerie Heide.
CONNECTING COMMUNITIES
THROUGH FIBRE OPTIC NETWORKS
2020
North America
winners
The North American judging panel had Winners in the North America companies category are:
its work cut out for it, working its way • North American bond arranger of the year – Citigroup
through a mass of submissions from
• North American corporate trust of the year – Deutsche Bank
those organisations that closed deals in
the 2020 calendar year. • North American financial adviser of the year – Macquarie
This year IJGlobal was impressed • North American insurance adviser of the year – INTECH Risk Management
with the amount of submissions – the • North American investor of the year – Quinbrook
largest entry level we have achieved
• North American legal adviser of the year, energy – Milbank
for many years thanks to ramped up
marketing. • North American Company legal adviser of the year, infrastructure – Torys
The following pages are dedicated • North American MLA of the year – MUFG
to those winners and we would like to • North American model auditor of the year – Operis
take this opportunity to congratulate
• North American public sector award – City of Edmonton
them for their successes.
• North American ratings agency of the year – Fitch Ratings
• North American sponsor of the year – Plenary Americas
• North American technical adviser of the year – Lummus Consultants
International
more
This advertisement has been approved and/or communicated by Deutsche Bank Group. The services described in this advertisement are provided by Deutsche
Bank AG or by its subsidiaries and/or affiliates in accordance with appropriate local legislation and regulation. Copyright © 2021 Deutsche Bank AG.
IJGlobal Awards 2020 North America
The information contained in this document is for general information purposes only. This document shall not be construed as an offer, invitation or solicitation to buy
or sell any security or product or to engage in any investment or advisory activity. None of the entities noted in this document are authorised deposit-taking institutions
for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of Macquarie Bank
Limited ABN 46 008 583 542. Macquarie Bank Limited does not guarantee or otherwise provide assurance in respect of the obligations of these entities.
An independent panel of judges debated led the industry by creating new project related assets to its joint venture partner
long and hard to pick the winner for the finance structures, such as the use of a gas Canadian Pacific Railway Limited (CP Rail).
IJGlobal Awards 2020 legal adviser of netback.” This deal showcased the cross border
the year, infrastructure. Torys was singled Torys advised on some stand out capabilities of Torys’ infrastructure team.
out because it is the only law firm with transactions in 2020 including the C$1.5 Mark Bain, partner and head of the P3
an integrated infrastructure practice on billion 900MW Cascade Power Project practice group at Torys, said of the win:
both sides of the US/Canada border with for which it provided legal counsel to the “We are thrilled to have been recognised as
the ability to advise on the planning, Cascade Power Project Limited Partnership North America legal adviser of the year for
procurement and development of significant made up of Kineticor Resource, Macquarie infrastructure, an award which speaks to the
projects and implement secondary market Capital, OPTrust, Axium Infrastructure and depth and breadth of Torys’ multidisciplinary
trades and refinancings. DIF Capital Partners. North American platform. We are proud to
Judges commented that Torys has “great Another key deal for Torys was DP World’s field a strong team on both sides of the
experience” and is “well respected across acquisition of Fraser Surrey Docks - the Canada-US border and to have clients who
the industry”. One judge said that Torys fourth-largest container terminal operator partner with us to execute on all aspects of
merits recognition because of its “ongoing in the world - alongside CDPQ from funds their infrastructure and energy work, from
work in multiple infrastructure sectors” managed by Macquarie Infrastructure regulatory matters and transactions, to PPP,
and that in 2020, it “was at the forefront Partners. The transaction was complex projects and project financings.
of some of the largest and most complex and multi-faceted, involving the acquisition “It has been our privilege and pleasure
infrastructure projects and acquisitions in of the terminal and ancillary commercial to work alongside clients in this space on
North America”. transactions. Torys acted as legal counsel to award-winning and pathfinder projects at
Another judge added: “Tory’s was scored DP World. a time when infrastructure activity is on
as the legal adviser of the year due to the Torys also advised OMERS Infrastructure the rise in both Canada and the United
volume, scope and complexity of its multi- in the $312 million sale of its 83.5% interest States, and as the sector continues to see
sector infrastructure deals. Moreover, Torys in Detroit River Tunnel Partnership and its significant evolution and innovation.”
The City of Edmonton in 2020 advanced as a stimulus for post-Covid recovery. the city council in December 2020 which
several discrete infrastructure projects, Valley Line West LRT achieved combines a municipal development plan
successfully acquiring all necessary property all procurement milestones despite and transport master plan. It also includes
for its infrastructure projects. market shifts due to the pandemic. The strategic direction in environmental
It was selected by an independent procurement launched in January 2020 planning, social planning and economic
panel of judges for the public sector award and reached financial and commercial development and presents a strategy for life
because it “demonstrated a sustained close on 23 December 2020. The in Edmonton.
commitment to infrastructure in 2020 $2.6-billion project is the second phase The plan articulates that public
with multi-sector initiatives (transport, of the Valley Line, a 27km low-floor urban infrastructure contributes toward the
organics processing, parks, etc), as well style LRT line. The first phase of the health, desirability, functionality, prosperity,
as diverse delivery approaches” according project, Valley Line Southeast, is currently sustainability, and resilience of Edmonton.
to one judge. Another said “Edmonton under construction. As examples, the plan highlights the need
should be recognised for its leadership When the pandemic hit, the team to: design and deliver mass transit and
in infrastructure”. One judge said they quickly adapted and shifted the process active transport network infrastructure
“appreciated the vision and plan that online. Bidders first provided technical that enablea energy efficient mobility;
Edmonton showed with its infrastructure submissions, including draft designs and design, build, finance and operate public
programme which covered various sectors plans, to demonstrate their ability to meet infrastructure to facilitate movement and
and models, and showed an ability to close the city’s rigorous technical requirements. universal accessibility in all seasons; and
a complex LRT transaction in a very timely All teams passed this first hurdle and were strategically expand infrastructure capacity
fashion”. invited to submit a financial proposal. The to enable future redevelopment.
The City of Edmonton’s ability to manage city evaluated these proposals to make The City of Edmonton has proved it
a complex infrastructure procurement from sure they met financial requirements, and understands that infrastructure is an enabler
start through financial close during a global the team with the lowest financial bid was of its goals. Its push to drive infrastructure
pandemic is laudable and will serve to selected as the preferred bidder. has been a beacon of light and hope
demonstrate how infrastructure can be used Edmonton’s City Plan was approved by throughout a challenging 2020.
We would also like to thank our clients. In a challenging year, we successfully executed major
financial closings in the oil & gas and power sectors and made tremendous progress on projects
that will play a key role in the energy transition.
Your support was unwavering; your trust was critical; and your partnership was meaningful.
Thank you.
2020
Latin America
winners
As with other regions, the number Winners in the Latin America companies category are:
of submissions for the company • Latin American bond arranger of the year – Goldman Sachs
category for Latin America received
• Latin American corporate trust of the year – Deutsche Bank
an unprecedented amount of
submissions… which we put down to • Latin American DFI of the year – IDB
improved marketing ahead of market • Latin American financial adviser of the year – Astris Finance
activity! • Latin American international legal adviser of the year – Milbank
Having said that, LatAm was no
• Latin American local legal adviser of the year – Garrigues Peru
slouch for deals closed in the 2020
calendar year giving the independent • Latin American MLA of the year – MUFG
panel of judges a challenging job to • Latin American model auditor of the year – Mazars
identify the market leaders. • Latin American public sector award – BNDES
Due to coronavirus and the inability
• Latin American ratings agency of the year – Fitch Ratings
to host physical judging events, we
created a dedicated LatAm panel to • Latin American sponsor of the year – Atlas Renewable Energy
oversee this process… which we will • Latin American tax adviser of the year – Pinheiro Neto Advogados
continue to do in future years. • Latin American tax adviser of the year – Infrata
Latin American bond arranger of Latin American DFI of the year – Latin American financial adviser of
the year – Goldman Sachs IDB the year – Astris Finance
Amidst volatile market conditions and a IDB’s presence is crucial in the infrastructure In 2020, Astris Finance closed $2.3 billion
challenging macro environment in 2020, and energy sector in Latin America. By of financing in 11 projects across different
Goldman Sachs has built on its leadership arranging debt packages and credit lines sectors like transport, renewable energy,
in Latin American infrastructure financings, to sponsors in Chile, Panama, Honduras, and power in key markets in the region
and continued to demonstrate its leadership Brazil, and Peru, among others, the IDB was including Brazil, Chile, Peru, and Mexico, as
in innovative and inaugural transactions in able to help the economy and ensure the well niche countries such as Uruguay.
the ESG space, with a particular focus on development of strategic assets in the region. An independent panel of judges selected
Covid-19 response. An independent panel of judges praised Astris as the financial adviser of the year in
An independent panel of judges selected the DFI’s “breadth and creativeness of the Latin America because “it demonstrated that
GS as the winner of bond arranger of deals the team has executed”. One judge it was a talented financial adviser in a very
the year in Latin America because of its said: “IDB has always been an important demanding year”. One judge said Astris has
“continued leadership in the bond market player in financing and structuring innovative an “impressive presence across the region”
for LatAm projects and infrastructure and challenging deals in Latin America”, and another said “Astris continues to impress in
financings”. One judge commented: and another said: “IDB was truly in a league terms of innovation and transaction execution”.
“GS has had a quite great year, closing of their own in 2020 in terms of innovation A notable deal Astris worked on in 2020
particularly innovative transactions such as and execution by DFIs in the Latin American was advising Grupo Via Central, a consortium
the Ecuador Social Bonds”, and another project and infrastructure market. The owned by Sacyr, NGE, Saceem, and Berkes
said: “The bank showed a great concern diversity, complexity and leading-edge on the closing of a $75 million, 12-year
with ESG issues in a year when those were nature of their transactions in 2020 was subordinated tranche with IDB Invest and
the most relevant questions. Deals were quite impressive”. Global Infrastructure Partners (GIP).
very interesting and innovative combining Astris successfully managed to close the
different sources of financing in different refinancing of Pempcorp Mexico despite
sectors. “IDB was truly in a league of the Covid-19 crisis and the Mexican energy
One judge added: “GS has the ability their own in 2020 in terms of sector’s political uncertainties, the latter
to execute across multiple situations and particularly averse to private investments.
take a more proprietary view on credit innovation and execution.” The Pemcorp refinancing consisted in a
underwriting. You see them whenever there 7-year mini perm for a debt amount of $170
is a complex deal to be solved”. A key deal for IDB was Huemul financing. million backed by contracted revenues.
As mentioned by one of the judges, a After being awarded a 20-year PPA in 2016, The Arco 1 portfolio refinancing in Chile
notable transaction for the bank was the Mainstream began to look for financing was another great win for Astris. The
Ecuador Social Bonds. GS acted as sole to develop the wind and solar projects refinancing included 3 tranches, totalling
global coordinator, bookrunner & social and reached out to banks to close debt $430 million and backed by contracted
notes structuring agent for the issuance packages for the second portion of the 630 revenues (energy sold through PPAs to
of $400 million 7.25% social notes due MW Huemul. After months of negotiations Minera los Pelambres, the biggest copper
2035. Ecuador became the first sovereign and delays caused by the pandemic, IDB mine in Chile) with the surplus sold in the
in the world to issue a social bond with the Invest and other banks managed to reach spot market. A mix of PPA and merchant
proceeds used to fund the country’s social financial close on the $620 million 19-year financing in Chile was backed by renewable
housing programme. debt package in 2020. assets with 6 international lenders, done in
GS acted as sole bookrunner and Last year, IDB Invest and DNB Bank the middle of the pandemic, while generating
structuring agent on a $360 million arranged the $67 million loan for the 187 significant cash-in and value for the sponsor.
Covid-19 relief term loan due 2027 and on MW Jacaranda project - also known as
the subsequent issuance of $342 million New Juazeiro - owned by Atlas Renewable “We are delighted and
Covid-19 relief notes due 2027 for Banco Energy. The deal was the first time a
Nacional de Panama. The transaction was Brazilian solar project had been fully honoured to have received this
part of the largest Multilateral Investment financed in US dollars, which proved IDB’s award for the third year.”
Guarantee Agency (MIGA)-guaranteed skill and leadership.
financing in LatAm. IDB Invest provided a $100 million 8-year Tobey Collins, managing director, head
A third transaction of note was Tierra debt package to fund the expansion of Gas of energy, Americas at Astris Finance, said:
Mojada for GS. FEL Energy successfully Natural de Lima y Callao gas distribution “We are delighted and honoured to have
priced $953 million of senior secured system in Lima and Peru’s constitutional received this award for the third year in a
144A/reg S notes, with GS acting as joint province of Callao. IDB closed the deal, row. The recognition by our peers in the
bookrunner. Through unique structural proving once again how it was able to fill the Latin America region means so much to our
features including a cash sweep, the gap left by the local investors, who were not regional and global teams. We give heartfelt
issuance achieved 3 investment grade able to provide these loans. The deal also thanks to our clients who have provided
ratings, Baa3 (Moody’s), BBB- (S&P) and proves IDB’s versatility, as it showed that it us with such exciting opportunities where
BBB- ( Fitch) despite material exposure to can work across Latin America in pure project our team has been able to showcase our
merchant revenues. finance deals and corporate transactions. talents and creativity.”
For the second year running, Milbank was Dan Bartfeld, practice group leader
selected as international legal adviser of the of the firm’s global project, energy and
year in Latin America for 2020, considered infrastructure finance group, said: “We take
to be the only law firm with a project finance great pride in being recognized by IJGlobal
practice consistently recognised across all as Latin American legal adviser of the year.
industries and countries in the region. We have embedded a culture where our
An independent panel of judges said clients view us as their ‘trusted advisers’,
Milbank was “very active in the region so we provide not only great legal services,
across different sectors and products - but also practical and business-oriented
loan and bonds - and has a pragmatic advice. We also put a premium on hiring
approach”. One judge said “Milbank has the best associates – we have an incredible
great coverage of the key sponsors and group of young attorneys who are extremely
underwriters in the region. It worked on hard-working, dedicated, interested –
milestone capital markets transactions and Milbank acted as lenders, counsel in and interesting – and curious about our
has the ability to support large and smaller the $450 million financing to Lima Airport business, this is really key since they are
projects”. Another judge commented: Partners (LAP) for the expansion of the often the front line of day-to-day interaction
“Milbank has a very practical approach to Jorge Chávez International Airport, a second with the clients.
legal advice which is much appreciated by key transaction for the law firm. “As a result of the coordinated and
business people”. Mainstream’s project financing of the team-oriented culture that we have very
A key deal for Milbank in 2020 was 630MW Huemul portfolio, which comprised intentionally created, our clients feel great
advising FEL Energy on a $953 million 3 onshore wind and 2 solar PV generation about us as key members of their team, and
offering of 5.750% senior notes due 2040 assets is another deal that Milbank they bring us with them when they embark
for the Tierra Mojada project, a natural gas- worked on, advising sponsor Mainstream in new countries and in new industries and
fired combined-cycle power plant in Mexico. Renewable Power and its subsidiaries. in new financing/acquisition arrangement.”
Latin American local legal adviser Latin American model auditor of Latin American public sector
of the year – Garrigues Peru the year – Mazars award – BNDES
Although many ongoing infrastructure and In 2020, Mazars helped to make sure In 2020, Brazilian development bank BNDES
energy projects had to halt construction scarce resources were used effectively advanced plans to reposition itself as more
and development to comply with strict to build and maintain new energy and than just a lender. Traditionally seen as a
emergency measures declared by the infrastructure assets. In the Latin America major competitor by commercial national
Peruvian Government, Garrigues still region, Mazars worked on 4 deals that and international debt providers, it now
advised a significant number of agencies, reached financial close in 2020 with a wants to be identified as a one-stop-shop
companies and financiers on various capital value of circa $2.6 billion and topped for developing Brazil’s infrastructure, a sector
projects of vital importance to develop the IJGlobal league tables in the calendar seen as critical for economic recovery as it
national infrastructure. year. emerges from the Covid-19 pandemic.
It is for this reason it was selected as Judges said of BNDES: “It continues to
local legal adviser of the year for Latin be the mainstay of funding infrastructure
America by IJGlobal’s independent panel of in the Brazilian market while also seeking
judges which said Garrigues provided “great to evolve their role in advancing Brazilian
customer service and impressive deal flow infrastructure”. One judge commented:
coverage in both Peru and Chile.” “BNDES is one of the main players in
The law firm was involved in 9 transport Brazilian infrastructure and is doing a great
infrastructure projects, 4 oil & gas projects, job in leading the privatisation programme
1 water irrigation project, 1 hospital project in Brazil”. Another judge said: “BNDES is
and 3 energy projects, among others in very strong in execution and supporting
2020. priority sectors”.
In 2020, Fitch worked to enhance its senior secured notes for FEL Energy (BBB-),
reputation as a thought leader on the Latin The Fitch infrastructure a thermal energy transaction and ratings to
American infrastructure sector, publishing the Javiera & Parque Fotovoltaico Sol del
over 19 special reports and other non-rating
team has done a fabulous Desierto renewable projects (BBB-) located
related commentaries, in addition to 282 job in staying on top of the in Chile.
rating publications. most-affected transportation Cherian George, global head of
Fitch has the largest presence in Latin infrastructure & project finance at Fitch
American project finance (157 public project portfolio. Ratings, said: “The pandemic has taken
finance ratings), with increasing coverage a heavy toll on Latin America, where
of roads, ports, airports, hydro, transmission conditions have been bad and continue to
lines, thermo plants, renewables and social bring efficiency to capital markets by assisting worsen. The Fitch infrastructure team has
infrastructure. market participants make informed, timely done a fabulous job in staying on top of the
Over the past couple of years Fitch has decisions. The Fitch team also focused on most-affected transportation portfolio.
rated over $11 billion of cross border debt keeping market participants informed on the “This has required several reviews as
for Latin American infrastructure projects. credit implications of the coronavirus crisis. conditions change and a recovery remains
Its expertise has reached into local markets Fitch has been combining its long distant unlike parts of the developed
such as Brazil, Mexico, Colombia and Chile, knowledge in each of the markets with world. The Fitch response amidst personal
with over 120 local ratings on $10 billion of global/regional expertise in Spanish, and professional challenges has been
project finance debt. Portuguese and English. remarkable with timely ratings actions and
An independent panel of judges selected Deals of note that Fitch provided credit issuer commentary, along with topical,
Fitch as the Latin American ratings agency ratings for in 2020 were the senior secured in-depth industry research across the
of the year because of the important role it notes to be issued by Guara Norte (BB+), infrastructure and energy space, investor
has played in providing timely, insightful and an FPSO (offshore oil production and calls and webinars. Our regional expertise
transparent commentary. This has helped to storage) in Brazil, the planned issuance of is well-recognized and unmatched.”
Latin American sponsor of the Latin American tax adviser Latin American technical adviser
year – Atlas Renewable Energy of the year – Pinheiro Neto of the year – Infrata
Advogados
Atlas is the fastest growing and most In 2020, despite the global market
innovative company in the Latam region Pinheiro Neto Advogados’ was selected downturn, Infrata worked on more than 100
developing and financing solar energy as tax adviser of the year for Latin America transactions across 29 countries in Europe,
projects for large energy consumers through because of the firm’s tax law experience North America, South America, Asia, Africa
corporate PPAs which is why it was singled in assisting local and foreign companies and Oceania spanning the road, rail, airports
out by an independent panel of judges as in bidding processes, funding projects, & ports, social infrastructure and street
sponsor of the year in Latin America. creation of consortia and various equity lighting sectors.
Judges said: “Atlas’ projects with Anglo acquisitions in the infrastructure sector. Infrata acted as lenders, technical adviser
American and Dow provide double the and environmental and social adviser on the
green benefit – development of renewable Ferrocarril Central project. The project entails
energy resources generally and a greening the DBFM of a 273km railway joining the
of the chemicals and mining sectors”. One north and the south of Uruguay to boost the
judge said: “Atlas worked on complex deals economy by increasing the traffic of goods
involving several jurisdictions and innovative and people, with a total capex of $1.1bn.
structure”, with another commenting: “Atlas Ferrocarril Central is the only project of its
did a first of a kind transaction financing kind in a country with very limited railway
a PPA in US dollars in Brazil in partnership technology. Infrata carried out a deep and
with IDB. It also executed in a difficult thorough analysis of the concessionaire’s
environment the financing of an institutional plan and technical proposal as well as the
financing for a greenfield solar project in complex contract structure which involved 6
Chile.” different lenders and 4 sponsors.
Atlas was part of the Ananuca Deal
in Chile where it issued, alongside DNB
Markets, a $253milion US private placement
in green bond format. This was the largest In 2020, Pinheiro Neto Advogados was This award has come at a
solar bond in Latin America with a unique hired by the Royal Golden Eagle Group wonderful time for us as
structure combining the financing of a new for the expansion of the Pulp Plant project
project (with construction risk) with a bond, in the State of São Paulo. The project
we are celebrating our 10th
while at the same time with the same bond, included not only the construction of the anniversary this year and we
refinancing an existing operational project. new industrial plant, but also the acquisition are very proud of our success.
The sponsor, together with IDB Invest of wagons and locomotives to carry out the
and DNB Bank executed the first US dollar transport of products and raw materials,
project financing in Brazil’s renewable the installation of a thermoelectric plant for
sector, obtaining a $67 million loan to the production of energy and the leasing of Another key deal Infrata worked on was the
finance the construction of Jacaranda, a a port terminal. The deal required both in refinancing of the loan package secured
187MW solar project in Brazil. The deal Brazil and abroad, a significant amount of for the Red Vial 4 Pativilca-Trujillo project
represented a dramatic breakthrough that assets, especially fixed assets. Pinheiro Neto in Peru. The new financing was backed
enabled new global investors previously Advogados worked on reducing the tax cost by cash flow from already operational
concerned with currency risk, to be able to of implementing the infrastructure project. tolls. The sponsor will use proceeds to
invest in Brazil with significantly reduced FX Another key deal for the law firm was the refinance previous debt associated with
risks. acquisition of Baúna oil cluster by Karoon the highway construction and to fund
A third key deal for the sponsor was Energy from Petrobras. It provided legal additional works, including construction of
he Casablanca Solar project in Brazil, the support on the tax and customs aspects the 37km Chimbote bypass. The refinancing
company’s second and largest financial of the acquisition of Baúna oil cluster by of this project included a large number of
closing in US dollars in the country. reviewing negotiating charter and service multilateral and investment banks.
Atlas obtained a $150 million loan to agreements for the FPSO, preparing the Alonzo Guzman, managing director at
finance the construction of Casablanca, a legal strategy for the transfer of the FPSO Infrata, said: “We are delighted that we
359MWp solar project. As part of the social from Petrobras to Karoon and discussing the have won Latin American technical adviser
programme associated with the project, allocation of the revenues, expenses and of the year and involved in another 2
Atlas designed an initiative to promote costs of Baúna oil cluster during the post award winning deals at this year’s awards.
diversity and inclusion and offer training to signing period. This award has come at a wonderful time
the local female workforce that could then Pinheiro Neto Advogados also provided for us as we are celebrating our 10th
opt for technical jobs within the plant’s tax advice on Cecília Rios Sibulka Aegea’s anniversary this year and we are very proud
construction. The financial deal structure issuance of preferred shares which involved of our success and the supporting role
also falls under Atlas’ Green Finance a unique structured financing amounting to we’ve played. We would like to take this
Framework - a testament to the company’s BRL 500 million. The transaction involved opportunity to congratulate our clients and
commitment to developing projects that the finance and improvement of Brazilian all parties involved for making the projects a
protect and preserve the environment. sanitation infrastructure. resounding success.”
2020
Asia Pacific
winners
This year’s submissions for the Winners in the Asia Pacific companies category are:
IJGlobal Awards in the APAC region • Asia Pacific bond arranger of the year – MUFG
outmatched any previous levels and
• Asia Pacific DFI of the year – Asian Development Bank
give the editorial team more work than
anticipated writing it all up – as you will • Asia Pacific financial adviser of the year – DBS
see in the pages to follow. • Asia Pacific legal adviser of the yea – Allen & Overy
We would like to take this opportunity • Asia Pacific MLA of the year – Societe Generale
to thank everyone for taking the time to
• Asia Pacific model auditor of the year – BDO
submit for the IJGlobal Awards 2020
and to congratulate all the winners. • Asia Pacific public sector award – Government of Indonesia
We would also like to thank the • Asia Pacific ratings agency of the year – Fitch Ratings
independent panel of judges who gave • Asia Pacific sponsor of the year – Ayala
their considered opinions on so many
• Asia Pacific technical adviser of the year – Mott MacDonald
of the results.
Congratulations all.
Asia Pacific bond arranger of the Asia Pacific DFI of the year Asia Pacific legal adviser of the
year – MUFG Asian Development Bank year - Allen & Overy
The award for Asia Pacific bond arranger of Our team of Asia-based independent
the year has been won by MUFG. judges awarded the Asia Pacific legal
Voting for this category was the closest adviser of the year to Allen & Overy.
by our team of Asia-based independent Allen & Overy has an enviable heritage
judges. “MUFG’s focus on innovation brings Our team of Asia-based independent in this sector – a law firm with infrastructure
it over the line,” noted a judge. judges decided to award the Asia Pacific and energy truly in its DNA. A&O is a
Sydney Airport issued in February 2020 development finance institution of the year mainstay of the IJGlobal Awards agenda
a US private placement (USPP), in which to Asian Development Bank (ADB). having for decades played a pivotal role
one 20-year tranche had a coupon linked ADB and China Gas in March 2020 signed in the delivery of infrastructure and energy
to ESG performance. This complemented a $20 million non-sovereign loan agreement around the world.
A$1.4 billion ($722 million) ESG-linked bank to ensure gas deliveries make it to end-users “Our busiest ever year at the practice with
loans the Australian airport operator raised in Hubei. In the wake of Covid-19, China choice roles on almost all the major projects
in 2019. Gas expanded operations to secure gas to in APAC,” said A&O. “We are working on
The triple-currency USPP is understood help ensure continued service to existing more secondary market transactions,
to be the first ESG-linked USPP and the first customers and to make gas available for such as acquisitions and acquisition
USPP issuance with potential for two-way new needs such as the supply of LPG to finance in relation to interests in projects/
pricing movement. hospitals and health facilities. energy companies and energy and natural
“ADB’s lending to China Gas helped the resources transactions, refinancing and
company finance gas supply for new hospitals other similar transactions.”
that were hastily being constructed to meet The law firm advised the lenders on the
“MUFG’s focus on innovation the growing demand for beds,” said a judge. more than $740 million Almaty ring road
brings it over the line.” “The timely financing during the first phase PPP project, described as Central Asia’s first
of the pandemic was very impressive. It proper PPP. DFIs dominated the $585 million
served the purpose of development financing limited recourse project financing – with a
institution in true form.” Another judge added: full pass-through of EPC and O&M risks to
“From the outset it was our intention to “The Wuhan financing in the early days of the the relevant contractors. Bank of China and
price the ESG tranche alongside a vanilla pandemic was made with unusual speed, PGGM took EBRD’s B loans.
tranche of the same maturity to evidence showing ADB’s agility in a crisis.” A&O also advised Ichthys LNG as
the price differential between the two,” The judges also praised ADB’s financing borrower on the massive refinancing of
Matthew Carr, head of debt capital markets of a 50MW solar power plant and the Ichthys LNG project. Lead sponsors
for Australia and New Zealand at MUFG transmission line in southern Vietnam. The Inpex Corporation and Total in June 2020
Securities Asia, told IJGlobal. “On this project was one of the first international refinanced its project debt, which sized
transaction, 20 years best suited the maturity project financed solar power projects in the at $8.29 billion and was said at the time
preference of the particular investors.” country. The multilateral helped to mitigate to be the largest refinancing of a project
“The Sydney Airport ESG bond could the risk perceptions of commercial lenders finance facility. Liquidity from a global mix
lay the pathway for other issuers,” added to Vietnam’s renewable energy market. of commercial banks was surprisingly
another judge. “It was effectively the first lending of scale strong, given the timing amid the Covid-19
MUFG was a joint bookrunner on to a renewables project in that way with the pandemic and an oil price crash, with
Malaysian state-owned oil and gas B loans structure which is fairly innovative,” uncovered debt’s pricing significantly
company Petronas’ $6 billion bond offering said a judge. “It provides a potential reduced.
in April 2020. At that time, it was one of the pathway for similar lending.” Another judge “Allen & Overy was involved in varied and
largest by an Asian issuer in history. The noted: “The slightly unusual structure high-profile deals,” said a judge.
144A/Reg S transaction was Petronas’ first helped break through what was otherwise a The law firm advised the lenders on
on the US dollar bond market since 2015. difficult market for commercial banks.” the refinancing of the integrated Roy Hill
The bank was also joint global coordinator “ADB’s lead role broke the impasse on iron ore project in Western Australia. The
and joint lead manager on Singapore’s the bankability of the PPA for Vietnamese refinancing is a milestone to complete
first US dollar corporate green bond – renewables,” added a third judge. development, which, at the time of the first
Singapore-based independent power ADB’s participation in Afghanistan’s transaction, was the largest ever project
producer Vena Energy’s $325 million, Reg first private sector gas-fired power project financing in mining. Roy Hill is now poised
S green bonds. The 2025 notes closed at financed by development finance institutions to be one of Australia’s largest operating
3.133%, or a spread of 172.5bp over US including ADB was also ground-breaking. mining projects.
Treasuries. The financing of the 59MW Mazar-e- “The choice was difficult,” conceded
“While the Petronas and Vena deals Sharif gas-fired power plant, which also won a judge. “Most of us have long-term
were not strictly project bonds,” noted a the IJGlobal 2020 DFI transaction of the relationships through retainers or panels.
judge, “they showed MUFG’s capabilities in year, will have wide-ranging impacts across Allen & Overy’s geographical, sector
different sectors.” the fragile and conflict affected country. diversity and broad range won the day.”
Asia Pacific MLA of the year Asia Pacific model auditor of the Asia Pacific sponsor of the year
Societe Generale year – BDO Ayala
The award for Asia Pacific MLA of the year BDO is the Asia Pacific model auditor of the Our team of Asia-based independent
has been won by Societe Generale. The year. IJGlobal credits BDO with more than judges awarded the Asia Pacific sponsor of
judges had nothing but praise for SocGen. $47 billion project value on 15 transactions the year to Ayala.
“SocGen’s submission showed a wide during the past 5 years. Three deals worth As the Philippines’ oldest and largest
range of projects in which they were $9 billion closed in 2020. conglomerate, Ayala has long been a
involved,” said a judge. BDO affiliates in Australia and the UK mainstay in the country’s development. It
The French bank financed the ground- provided model audits to clients across was the group’s concerted effort beyond the
breaking 180MW Changhua floating solar Asia Pacific. BDO Australia worked on the archipelago that judges praised.
farm in Taiwan, the massive CFXD offshore financing of the Changfang and Xidao The refinancing of the 75MW Sidrap
wind in Taiwan and Japan’s first commercial Offshore offshore wind project (CFXD) in I wind farm, Indonesia’s first wind power
scale offshore wind farm – all 3 transactions the Taiwan Straits. That financing is the project, by Ayala subsidiary AC Energy
were named deals of the year. APAC Regional Project Finance and Export and UPC Renewables anticipates the
SocGen was MLA, technical bank, and Finance deals of the year. development of the nearby Sidrap II. Sidrap
hedge provider in the NT$7.3 billion ($240 Sponsors Copenhagen Infrastructure I was AC Energy’s first offshore greenfield
million) project financing of the 180MW Partners, Taiwan Life and TransGlobe Life, investment.
Changhua floating solar project in Taiwan reached financial close in February 2020 “Sidrap’s refinancing shows the company’s
– one of the largest in the world. Marubeni through a nearly NT$120 billion ($3.94 commitment to the Indonesian market and
acquired the project at financial close from I billion) financing package. BDO reviewed illustrates Ayala’s growth strategy beyond the
Squared Capital. the financial model by CIP’s advisers Philippines,” said a judge.
for financing and to ensure compliance The same could be said for AC Energy’s
with the underlying project and financing 210MW wind farm in Quang Binh – the
documents and local accounting and tax largest wind farm to date in Vietnam to
legislation. BDO Taiwan provided support for enter construction, according to the Ayala
tax compliance. energy unit. AC Energy is providing the full
BDO worked closely with the lenders construction capital for the project.
and CIP’s advisers to meet the changing “Ayala has long had a highly established
demands during the transaction. “Throughout presence in the Philippines. But 2020 saw
the model audit process, BDO provided them solidify their position as an Asian
“The team has come to the fore again,” practical and relevant recommendations presence rather than a local player only in
said another judge. “We’re impressed by the that enabled CIP’s advisers to provide a the Philippines,” shared a judge.
diversity of their portfolio. The mix of markets financial model to lenders that was not only Ayala’s ambitions reached into the Pacific.
and sectors is quite impressive.” fully audited but also met all lenders, internal AC Energy, through a JV with Hong Kong-
SocGen arranged the debt behind requirements for the purpose of obtaining based UPC Renewables, made a strong bid to
the Changfang and Xidao offshore wind credit approvals,” the company said. acquire ASX-listed Infigen Energy. While the
projects in the Taiwan Strait, collectively BDO UK also supported Tengizchevroil’s Spanish utility Iberdrola ultimately acquired
known as the CFXD project, via a roughly $5 billion refinancing to repay loans drawn Infigen for A$893 million and delisted the firm,
NT$120 billion financing package. to fund its $45 billion Future Growth AC Energy’s JV in early 2021 reached financial
SocGen was the first international bank to Project/Wellhead Pressure Management close on a A$500 million solar farm in New
finance the solar power sector in Indonesia. project. Proceeds are used to increase South Wales. The JV is also developing the
It financed 2 of Berkeley Energy’s solar the production capacity by about 160MW Axedale solar PV plant.
projects to bring cheaper electricity to 260,000 barrels of oil per day in western Closer to home, Ayala continued to show
Sulawesi and Lombok. Kazakhstan’s Tengiz and Korolev oil fields. strength in the primary and secondary
Meanwhile, the bank made a strong At closing, Chevron, ExxonMobil, state oil market. AC Energy is developing 2 solar
play into India’s renewables market by and gas company KazMunayGas and Lukoil plants, with a combined capacity of up to
financing these projects: Softbank Energy’s subsidiary LukArco owned Tengizchevroil. 150MW, in central Luzon’s Pampanga and
600MW solar, Engie’s 200MW Raghanesda BDO reviewed a range of financing Zambales provinces.
solar and KKR’s acquisition of 130MW of documentation, including common security In the secondary market, AC Energy
operating solar assets. agreement, bond indenture, commercial acquired shares in Ingrid Power to develop
While the bank continued to grow its bank facility agreements, most with separate the 300MW diesel-fired project in Pililla
Australian renewables book, SocGen was documents from Chevron and ExxonMobil. Rizal. Project company Ingrid is developing
a strong backer of a strategic gas-fired BDO’s prior experience on the original the 2x 150MW diesel engine power plant
power project in Bangladesh with financing upstream project, working with JP Morgan to supply peaking and reserve power to
for the 718MW net CCGT power plant in as financial adviser, allowed the company to the Luzon grid. A subsidiary of AC Energy
Meghnaghat. untangle the bureaucratic requirements to partnered on the project with Axia Power
“I too was impressed by the diversity of their support a project in Kazakhstan. Holdings Philippines, a subsidiary of Japan-
portfolio,” added another judge. “From Taiwan’s BDO provided financial model audit based Marubeni.
first floating solar and the massive Ichthys support during a 3-month period, which “Ayala is making significant inroads in
LNG and Roy Hill iron mine refinancings assisted the upstream operator in securing not only greenfield investments but also
to Taiwan offshore wind and India’s solar additional senior debt financing of about acquisitions,” said a judge. “This balanced
portfolio financing markets, SocGen had an $30 billion to fund the remaining capital approach bodes well for their pan-Asia
impressive mix of markets and sectors.” expenditure. growth strategy.”
The award for Asia Pacific ratings agency of issuer’s debut issuance in the global bond
the year has been won by Fitch Ratings. “Of all three rating agencies, markets. That transaction won Asia Pacific
Issuers last year relied on Fitch’s timely, Best Geothermal deal of the year.
in-depth credit views and updates about the user engagement of Fitch Fitch also allowed market players and
Covid-19. While the firm published more than has been by far the best.” investors to have a more holistic view
640 project finance-related research pieces, and make a more informed decision on
many focused on the pandemic, including the issuing group. It rated Barito Pacific,
the changes that could permanently alter the issuer’s parent, and another related
the infrastructure landscape and Asia Pacific renewable power project under the group
seaports stress tests. It rated all Indian renewable entities Star Energy Geothermal Wayang Windu.
“In terms of recovery ratings, Fitch is that issued in 2020, including a financing The ratings agency’s coverage of Delhi
being precise in its infrastructure and project vehicle’s 144A/Reg S $325 million green International Airport’s $150 million tap
finance methodology, which is great,” said a notes due 2024 that is using the proceeds issuance showed Fitch’s capabilities
market insider. to subscribe to India rupee non-convertible across sectors. The operator has a 30-year
Fitch covered 100% of first-time cross- debentures issued by a restricted group of concession on India’s largest airport by
border Asia Pacific transactions. It also ReNew Power, an influential developer in passenger traffic.
provided national ratings to infrastructure India’s renewables market. “I have to say this, the amount of work
and project finance issuers. Fitch’s rating of Star Energy Geothermal’s Fitch has put into keeping investors
As the incorporation of ESG in project $1.11 billion green notes increased informed on Covid-related topics, be it
financing matures, Fitch’s ESG coverage the transparency of the issuer’s credit rating actions or changes in growth forecast,
delved into all 325 infrastructure and project among bond investors. The coverage was etc., has been really good,” said a market
finance issuers in 2020. particularly useful because of the unique participant. “Of all three rating agencies, the
Its Indian market coverage was also project financing structure and relatively user engagement of Fitch has been by far
formidable. long tenors of the instruments for the the best.”
2020
Africa winners
It is with great pleasure that we Winners in the African companies category are:
announce IJGlobal’s winners for African • African financial adviser of the year – Societe Generale
awards for company activity and
• African legal adviser of the year – White & Case
transactions closed over calendar year
2020. • African DFI of the year – InfraCo Africa
Winners in the institutional category • African MLA of the year – Rand Merchant Bank
were voted on by senior figures from • African corporate trust of the year – Deutsche Bank Corporate Trust
across the regional infrastructure and
• African technical adviser of the year – Lummus Consultants
energy community – none allowed to
International
vote in their own business areas – in
what is widely regarded to be the most • African sponsor of the year – Fluence Corporation
independently-judged awards in this
sector.
IJGlobal’s independent panel of judges ideas. It is hard work and can be a bumpy
voted overwhelmingly in favour of InfraCo demonstrated ride, but ultimately we believe that our
InfraCo Africa to win this year’s award for work draws private sector financing into
development finance institution for its
strength in bringing in funding sectors, countries and projects that it
activity in 2020 across the African continent. for difficult sectors/regions, wouldn’t otherwise have considered.
The judges were highly complimentary demonstrating what is By working together we change lives,
of InfraCo, crediting it for “true innovation” promoting economic development whilst
and the ultimate compliment for a DFI of expected of a DFI. also contributing to the fight against climate
“crowding in new investors”, while also change.”
providing a “solution for local currency which He adds: “Covid-19 has made this year
is so important to get private money into innovative product that leverages the money more challenging than most, but it has
emerging market infra financing”. available well”. also shown us just how much more work
One judge said: “InfraCo demonstrated InfraCo Africa is part of the Private there is to be done to scale access to safe,
strength in bringing in funding for difficult Infrastructure Development Group (PIDG), inclusive infrastructure in sub-Saharan
sectors/regions, demonstrating what is managed as a private company and Africa. So we will keep innovating. We’re
expected of a DFI.” Another added that it funded by governments in the UK (FCDO), supporting the first power broker (Africa
was achieving “what DFIs should be doing – the Netherlands (DGIS) and Switzerland GreenCo) in Zambia, the expansion of
trying to bring social benefit across a range (SECO). electric vehicles (Ekorent) in Nairobi,
of sectors by mobilising private capital”. Gilles Vaes, chief executive of InfraCo, piloting commercial-scale batteries in
The overwhelming sense of the says: “InfraCo Africa consciously works Chad and Malawi, unlocking local currency
judging session was that InfraCo has ‘on-the-frontier’ pioneering new solutions, institutional investment in Nigeria and
had a significant impact on the African investing in challenging markets and Kenya and we are continuing to push
infrastructure and energy sector, addressing always looking for opportunities to recycle boundaries in the deployment of mini-
the financing gap and providing “an our experience and push forward new grids.”
An editorial award has been made to In Europe and Africa, Deutsche Bank that is affordable, reliable and diverse from
Deutsche Bank for the role it played covers the full spectrum of assets from traditional energy sources. Dubai-based
in corporate trust across the African renewable energy through to traditional solar developer Phanes Group secured $67
infrastructure and energy market over the power, transport, oil and gas, telecoms, million funding for a 46MW solar power park
course of the 2020 calendar year. water and waste sectors – with an added Nkhotakota and it closed in April 2020.
Deutsche Bank’s corporate trust team focus on sustainable financing. Jason Connery, head of trust and
supported 51 transactions valued at The key deals it worked on in Africa agency services (TAS) EMEA for Deutsche
more than $20 billion of project and were Nigeria’s LNG Train 7 and activity with Bank, says: “We’re delighted to have
infrastructure financing, 66 deals for close Phanes Energy Renewables Nkhotakota been named corporate trust provider
to $83 billion of corporate debt issuances Limited in Malawi. of the year in Africa. Trust and agency
across the energy and infrastructure The Nigerian deal is well known to services administers a wide spectrum of
sectors and serviced clients and projects in IJGlobal readers, but the Malawian infrastructure transactions. We proudly
12 different countries across the Americas, transaction saw Deutsche Bank Trust and supported the first ECA-backed hybrid
EMEA and APAC. Agency Services act as administrative corporate financing for the development
The corporate trust team offers a full agent, account bank and collateral agent of a liquefied natural gas project in Africa.
suite of services, from depositary bank, on a solar project designed to stop rolling Supporting infrastructure projects is an
escrow agent, trustee, paying agent, to blackouts across the country. important focus for TAS and we look
administrative agent, collateral agent and This project provides power to the most forward to facilitating similar transactions in
intercreditor agent. vulnerable populations through a source the region.”
2020
MENA winners
Having drawn together a team of Winners in the MENA companies category are:
experienced industry players – all of • MENA MLA of the year – BNP Paribas
whom have been working in the Middle
• MENA financial adviser of the year – Cranmore Partners
East and North African market for many
years – to judge the IJGlobal awards, • MENA sponsor of the year – Marubeni Corporation
they met earlier this year for our virtual • MENA legal adviser of the year – Norton Rose Fulbright
Judgment Day. • MENA model auditor – Mazars
They were hugely impressed by the
• MENA DFI of the year – European Investment Bank
quality of submissions and the results
that are highlighted here and in the • MENA public sector award – EWEC
following pages are thanks to the effort • MENA bond arranger – Citi
they put in, identifying the key players • MENA ratings agency – Fitch Ratings
and giving credit where credit is due.
• MENA technical adviser – Lummus Consultants
We would like to extent our thanks to
the judges and all who submitted.
MENA MLA of the year MENA financial adviser of the year MENA legal adviser of the year
BNP Paribas Cranmore Partners Norton Rose Fulbright
BNP Paribas enjoyed a successful year of Norton Rose Fulbright has won the Legal
activity across the MENA region working Adviser of the Year award for MENA based
on some of the key transactions to reach on a compelling submission that outlined
financial close in the judging period, winning Cranmore Partners was voted MENA winner a series of impressive deals to have been
over the awards committee with an excellent of the IJGlobal Financial Adviser of the brought to financial close in the 2020
submission. Year Award for 2020 at the regional virtual calendar year.
It was a close-run thing, but BNP tipped judging session earlier this year. The independent panel of judges was
the scales with one judge saying the lender The independent panel of judges lauded impressed by NRF’s performance with one
played “strong leadership roles in various Cranmore for “deep skill and quality services”, going as far as to say the international law firm
deals” and another admiring it for “early deal recognising a “growing number of deals won” had “strong performance and iconic deals”.
structuring capabilities, flexibility and creativity”. and its “impressive stable of clients from a Another judge added: “Although
The comments on Judgment Day for the new comer perspective when compared to competition was fierce, NRF advised on
MENA section of IJGlobal Awards 2020 the Big 4 and international banks”. some of the highest profile and most
were all positive towards the French bank Another judge said of Cranmore that complex transactions in the region and
with one saying: “BNPP had major roles on it was an “up-and-coming adviser, very appeared to be the most impressive in
all the leading deals in the market this year. aggressively engaging in the MENA market”, terms of breadth and experience.”
In a tight competition the judges felt that adding that the firm “has advised on some NRF did indeed work on some landmark
BNPP deserved the top spot.” very competitive deals”. 2020 deals in the region having acted
Meanwhile, another judge said: “2020 was as international legal adviser to the
a very tough year due to the pandemic, but senior lenders and equity lenders on
BNPP had major roles on all Cranmore was a stand-out performer under the award-winning DEWA V in respect
the leading deals in the market the circumstances and managed to keep up of the development and financing (both
a successful rate of financial closings.” conventional and Islamic) related aspects
this year. Yet another added: “Cranmore is growing of the 900MW PV fifth phase of the
in strength year-on-year and in 2020 Mohammed bin Rashid Al Maktoum Solar
While another gives a nod to the competition demonstrated through their innovation and Park. The Project will be co-owned by ACWA
saying it was “neck-and-neck, but BNP had creativity – both in terms and deal structures Power, Gulf Investment Corporation GSC
the edge for its diversity in client base”. – why they are rapidly becoming the financial and Dubai Energy and Water Authority.
BNPP arranged a notable renewable adviser of choice for complex deals.”
energy transaction in Abu Dhabi, acting Despite its youth, Cranmore made a
as sole lead bank, sole bookrunner and strong impact in 2020, working on 19
documentation bank for the second solar PV mandates in MENA, bringing three landmark
project in the Emirate, which was the world’s projects financial close, in all of which
largest single-site solar PV project with a Cranmore was sole financial adviser to the
capacity of 2.1GW. project sponsors.
The bank also stands out for high Yusuf Macun, founder and managing
underwritten amounts, including on partner at Cranmore, said: “It is an honour The NRF team also acted as sponsor
Fujairah 3 in the UAE, a greenfield 2.4GW for us at Cranmore Partners to receive the counsel to the consortium of EDFR and Jinko
independent power project that will give a MENA Financial Adviser of the Year Award. Power on the 2GW Al Dhafra Solar PV IPP in
significant boost to the local power market; “This accolade consecrates our team’s Abu Dhabi; and advised JBIC and a syndicate
and for supporting key players in the region relentless efforts to provide best-in-class of international lenders on the $957 million
including Marubeni and Mubadala. independent financial advice to our clients, financing of Fujairah F3 IPP in the UAE. Both
BNPP played a key role in arranging a major a commitment we made when creating of these are also award winners.
project, Galaxy, regarding the acquisition of Cranmore five years ago. We thank our Charles Whitney, head of energy for
a minority stake in ADNOC Gas Pipelines, clients for their continued trust on this EMEA at NRF, says: “It is a privilege for us to
which has usage rights over strategic gas journey.” be recognised with this prestigious award.
assets owned by ADNOC. The assets will He added: “Notwithstanding the Our team closed a number of high-profile
maintain domestic gas consumption and challenges, 2020 has been a strong year and complex project financings in the
meet Abu Dhabi’s objectives to become for Cranmore, with some landmark financial region, working for top tier developers and
gas self-sufficient and net exporter. On this closings - including Fujairah 3, Enerjisa lenders in the power and renewables sector.
transaction, the French bank acted as senior Refinancing, Scaling Solar Uzbekistan, “This award is recognition of the team’s
MLA, hedge provider and bookrunner. enabling iconic infrastructure investments hard work in implementing our strategy
Roland Kahalé, head of BNPP O&G in MENA, and significant growth, with new of being a go-to law firm for energy and
project finance for EMEA, said: “It was a colleagues joining us in Abu Dhabi, Delhi, infrastructure projects in the Middle East and
very active year for BNPP in MENA where Istanbul and Singapore. North Africa. We look forward to continuing to
we demonstrated our strong commitment “Looking forward to an exciting year support our clients through the impact of the
to support both the regional champions and ahead, this award strengthens our resolve energy transition on the Middle East energy
our global clients from Europe, APAC and in continuing to deliver solutions for further market and positioning ourselves to be a
the Americas in their partnerships and joint investments in sustainable infrastructure.” contender for the award next year.”
investments in the GCC.”
www.marubeni.com
MENA model auditor of the year MENA DFI of the year MENA public sector award of the
Mazars European Investment Bank year – EWEC
The IJGlobal Model Auditor of the Year 2020 It came as something of a surprise at the The winner of the IJGlobal Public Sector
goes to Mazars with one of the independent judging session to witness a revolt that saw Award for the Middle East and North Africa
judging panel describing it as “the stand-out the panel shun the organisations one would is Abu Dhabi-based Emirates Water and
contender this year based on experience, normally expect to see win an award for DFI Electricity Company (EWEC).
deals supported and visibility in the region”. involvement in the MENA region, favouring In the interest of full transparency, the
At the virtual judging session staged instead an institution they believe had IJGlobal editorial team compiled most –
earlier this year, another of the judging greatest impact. not all – of the MENA public sector award
panel said Mazars was “most frequently The majority of judges in the MENA panel submissions to increase competitive
seen in market” and gave it kudos for having threw their weight behind the European tension in this sector… and this was one of
“submitted the most complicated of the Investment Bank, celebrating “a truly IJ’s submissions.
transactions listed – Galaxy”. impressive set of deals this year both in We made this entirely clear to the
terms of geography and sector” adding it judges and they were swayed by the kind
Mazars submitted the was “so good to see EIB’s support right words we wrote about the organisation
across the region”. combined with their own local market
most complicated of the Another judge said they were “impressed knowledge, with one judge expressing they
transactions listed. with the breadth of support to the were “impressed with EWEC’s approach to
development of projects across the region” encouraging innovative financing structures
Meanwhile, another judge said of Mazars: with one celebrating “strong cross-sector for their projects”.
“It has been present on most transactions catalyst support for investment into Another judge said: “EWEC
we have been on, and the two transactions sustainable infrastructure”. demonstrated exceptional market
submitted were more complex than most. The submission highlighted the role that engagement in 2020, seeking to diversify
Mazars has a strong market position.” the EIB played on an impressive slew of the funding options for infrastructure and
In the MENA region Mazars acted on five deals across the Middle East and North energy projects by developing a financing
transactions to make it to financial close in Africa. structure that encourages early refinancing
the 2020 calendar year, deals with capital In Morocco, the EIB played a significant into the bond market.”
value of around $6 billion. To achieve this, role in the financing of Noor Middelt The judge added EWEC was: “Easily the
it leveraged more than 50 dedicated model I – lending $110 million (the second stand-out performer in the public sector for
audit professionals based in London, New largest ticket on the transaction) for the financial innovation and transparency.”
York, Toronto, Sydney and Delhi. development of the 800MW hybrid CSP/PV Yet another judge said: “EWEC
One of its key deals in the region was the solar plants. continued to innovate, for example by
refinance of the ADNOC gas pipeline assets Meanwhile, its activity in Egypt was more taking refinancing risk and being open to
portfolio on which Mazars provided model strategic (admissible for awards like this hard mini-perms, while also now venturing
audit services to the equity holder – Galaxy one) where in February 2020 the EIB signed into new sectors such as waste-to-energy.
Pipeline Assets BidCo. three agreements totalling €122.7 million – In addition, it had two amazing transactions
This project brought a number of Europe’s two grants and one loan – for the upgrade close in 2020 – F3 and Al Dhafra.”
leading lenders in as banking partners, of three water and rail assets in the country. EWEC drives the planning and
while at the same time expanding Mazar’s For Jordan, the EIB in early December forecasting, purchase and supply of water
relationship with some of the existing lent €218.5 million to the Ministry of Water and electricity in the Emirate of Abu Dhabi
partners through this refinance. and Irrigation to support its €350 million and beyond and is highly regarded for its
Another landmark transaction Mazars water sector overhaul. success.
worked on was the Umm Al-Hayman On being informed of winning the It is charged with leading change in the
Wastewater Treatment Plant for which it IJGlobal award, EIB president Werner Hoyer energy sector with a focus on sustainability
provided model audit services to the equity said: “The European Investment Bank is and renewable technologies. EWEC also
provider WTE Wassertechnik. committed to accelerating high-impact performs its role as the sole procurer of
This project is one of the world’s largest investment that harnesses best practice water and electricity to drive the short-
wastewater projects and is being built to to deliver sustainable development and and long-term balancing of supply and
dispose of the wastewater from southern improve lives and opportunities for millions demand.
Kuwait and to supply agriculture and of people. EWEC has a mandate to partner
industry with process water. “Being awarded IJGlobal MENA DFI with world-class developers to ensure
WTE will deliver a complete package of the Year reflects the shared focus of sustainability through long-term water and
from wastewater collection, treatment and project promoters, co-investors and the EIB electricity purchase agreements, and signs
distribution to energy generation, composting colleagues covering the region. bulk supply tariff sales agreements with
and plant operation – as a one-stop solution. “This award – based on feedback distribution companies.
Jerome Brice, global head of model audit from our infrastructure financing peers – The high point of 2020 was achieved
at Mazars, said: “We are proud to have recognises how this hard work is unlocking when Marubeni closed on the $1.14 billion,
played our part in assuring the robustness of transformational investment in new 2.4GW Fujairah 3 CCGT IPP project in
award-winning projects across the globe. We hospitals and schools, improving access Qidfa, located in the Emirate of Fujairah.
are particularly active in the MENA region, to clean water and sustainable transport The project financing is backed by a $941
enabling economic transition in the region by and providing Covid-19 vaccines through million 7-year soft mini-perm deal.
supporting the development of amazing new COVAX.”
energy and infrastructure assets.”
MENA bond arranger of the year MENA ratings agency of the year MENA technical adviser of the
Citi Fitch Ratings year – Lummus Consultants
The decision over which institution was to The editorial award for ratings agencies in The editorial award for Middle East and
win the MENA Bond Arranger of the Year the Middle East and North Africa was won North Africa technical adviser of the year
award saw a straight shoot-out between by Fitch Ratings which had an exemplary for 2020 has been awarded to Lummus
two organisations that worked on the same 2020, playing a critical role in the region Consultants.
deal – Galaxy. over the course of the calendar year. That adviser wins the coveted award
This made the decision all the harder In its submission for the award, Fitch based primarily on the role that it played on
for the independent panel of judges, but points to an “unprecedented period of two key transactions in the MENA region –
they were finally swayed by Citi given that uncertainty” across the MENA region during Fujairah 3 CCGT in the United Arab Emirates
its “bond franchise has always been very the judging period. and Leviathan Natural Gas Field Bond
strong” and based on its “involvement in Fitch points out in the submission: Facility in Israel.
not only the original bond offering, but also “There was a greater need than ever for Fujairah 3 is a 2.4GW combined cycle
the subsequent refinancing, which was clarity and insight on the impact of the gas turbine power project and deploys
impressive”. crisis on the world’s credit markets. Credit Mitsubishi JAC-class turbines which involved
One judge was even-handed in the rating agencies have a key role to play by the arranging of $900 million of term loans.
comments (though voted for Citi), saying: providing timely, insightful and transparent The plant is being delivered through a
“Both banks did an outstanding job on the commentary on the credit implications DBFOM structure underpinned by a PPA
same deal, but Citi had completed more key of the coronavirus crisis on debt issuers. with the Abu Dhabi procurer – Emirates
roles in the transaction listed.” Meanwhile This supports efficient capital markets by Water and Electricity Company (EWEC).
another saluted the “comprehensive bond helping market participants make informed Lummus Consultants provided the critical
market coverage role played by Citi”. decisions.” technical assessment component of the
The bond arrangers on Galaxy And this spike in activity resulted in Fitch financing through the evaluation of the
successfully priced a $4 billion multi- enhancing its reputation as a thought leader industry leading, high efficiency JAC-class
tranche 144A/RegS bond offering on behalf on the MENA infrastructure and project gas turbine technology.
of Galaxy Pipeline Assets Bidco Limited finance sector, publishing more than 48 Meanwhile on the Israeli transaction,
on 27 October 2020. Citi acted as joint special reports and other non-rating related Delek Group announced a $2.25 billion
global coordinator, joint bookrunner, joint commentaries. bond offering for Delek Overriding Royalty
refinancing adviser and fiscal and paying Fitch increased its coverage of the Leviathan Ltd (an SPV) for the Leviathan
agent on the offering. infrastructure sector owing to its willingness Gas Field operations located offshore Israel.
On 10 February 2021 (outside the and ability to evaluate increasingly complex The notes are secured by the overriding
judging period), Citi followed on to the transactions working with a broadening royalty interests in the Leviathan gas field.
inaugural $4 billion issuance and acted as range of issuers across the world. In MENA, Lummus Consultants was the independent
joint global coordinator, joint bookrunner Fitch rated 104 issuers/transactions, adding engineer for this deal, building on reviews for
and fiscal and paying agent on the $3.92 23 ratings to its portfolio. the initial and follow-on financings for several
billion multi-tranche 144A/RegS senior Cherian George, global head of project phases, providing technical risk
secured offering. Proceeds were used to refi infrastructure and project finance at Fitch assessments focusing on the key risk areas
the remaining amount outstanding under Ratings, said: “The infrastructure and project of design, schedule, construction logistics,
the initial acquisition loan. finance space continues to evolve with regulatory issues, capital cost, institutional
One of the primary highlights of the bond new structures being applied to traditional development, operating performance, and
refinancing were that it was the largest sectors, and new sectors and markets interfaces between jacket and module
infrastructure issuance globally – equal to constantly emerging. The Middle East and fabrication, primary installation, and subsea
$4 billion inaugural issuance by Mexico City North Africa market is no different. installation.
Airport Trust in 2017 (also led by Citi) – and “Credit principles remain the same but Lummus president Susan Garven said:
the largest by a private-sector issuer. unique applications and new circumstances “Lummus Consultants is honoured to be
On a regional level, Galaxy was the demand evolving and critical thinking.” named technical adviser of the year for MENA
largest private sector issuance from the He added: “The MENA market has and the global technical adviser of the year
Gulf Cooperation Council (GCC), the lowest unusual legal and cultural features that for 2020. Both are very prestigious awards,
ever yield-to-maturities achieved by a MENA affects how transactions are structured, especially in a year with such huge challenges.
energy issuer, as well as being the biggest including government ownership and “To have major financial closings in the
debut transaction from EMEA in 2020. influence on strategic decisions. power, water and oil and gas sectors is a
Further, Citi identifies Galaxy in its “This is where Fitch Ratings excels, as we credit to both the lenders and sponsors.
submission as being the largest US Dollar remain intellectually open to breaking down “We are excited about continuing to
denominated, non-mortgaged backed, the risks and mitigants in new structures. participate in the successful financing of
amortizing corporate bond. Together with This is by no means easy as we work with energy storage projects and the expansion
the initial issuance (total of $8 billion), brilliant minds constantly challenging us of new green energy initiatives in MENA
Citi believes this is the largest combined with new ideas but we are up to the task. and around the world. Providing useful,
issuance ever done by a single asset “We are pleased to receive the IJGlobal knowledgeable expertise to our clients has
infrastructure issuer globally in a period of 4 award in recognition of our work in the always been our number one goal, making
months. region.” this award particularly gratifying.”
2020
Winning deals
2020
Europe winners
Winners in the Europe transaction category are:
Wavemaster Horizon is a deal that brings And so to Wavemaster Horizon, this is a JF Dusch
to mind Dublin Convention Centre PPP of ship finance deal that’s been on our radar
2007 vintage. Now, those of you who know for some time since discussing it over a
Wavemaster are likely wondering how on pint with an old chum at a time when that
earth a rather drab Irish deal (that got into a was a far simpler affair. Now an infra purist
spot of bother a few years back, losing quite might pet lip at this deal winning such
a few folk quite a lot of money) is in any way accolade. I agree it dwells in the realms of
similar to a shipping finance deal. core plus… but it’s terribly interesting and
Well, it’s not so much the convention no mean feat to have brought to financial
centre itself but the fact that it won the close.
IJGlobal European Infrastructure Award for Bibby Marine – via its subsidiary
2007 while I furiously championed a far more Wavemaster Horizon Ltd (WM2Ltd)
interesting deal that had all the hallmarks of – entered into a €40 million ($48m)
a winner – the UK MoD Future Provision of shipbuilding contract with BV Sheepswerf
Marine Services (FPMS) PFI, which sources Damen Gorinchem for a service operations
tell me is performing nicely to this day. vessel (SOV). The vessel was built at the
When announcing the European shortlist Damen Galati shipyard in Romania and was
from the podium at London’s Natural History delivered in autumn 2019.
Museum in March 2008 (fortunately people Horizon is a new class of purpose-built
paid for tables before reality landed with a SOV with walk-to-work (W2W) capability
crash) a cheer went up for FPMS. Agreeing developed by Damen in consultation with
with the sentiment, I had then to announce the offshore renewable energy industry and
the damp squib that was the convention designed to meet the increasing demand for
centre. vessels capable of operating in ever further
FPMS was a particularly interesting off-shore locations.
transaction that involved a fleet of some 110 Bibby entered into a 10 plus 5-year
vessels, procurement of 31 new vessels, charter party with Siemens Gamesa "We love to mix up and diversify
and marine support at major UK naval Renewable Energy (SGRE). It will use the our portfolios by taking on
bases in Portsmouth, Devonport and The vessel to meet service obligations on the
Clyde. The key part of the deal was that the Hohe See and Albatros offshore wind farms
innovative investments such as
lenders’ risk rested on the residual value of some 145km and 150km from the German Wavemaster."
the assets at the end of the contract. coastline.
It takes a world-class
team to deliver a
world-class deal
At GBP 5.5 billion and backed by 29 banks and three export credit agencies, Financial Close for Dogger
Bank A and B is the world’s largest offshore wind project financing deal so far. It’s a world-class deal
that’s helping build the world’s largest offshore wind farm to power 6 million UK homes each year.
doggerbank.com
@doggerbankwind
The award for European digital infrastructure GSM-R technology has been installed management over the remaining term of the
refinancing in transport communications across more than 12,000km of rail network partnership contract.
division has been won by Synerail for the in France replacing 35 separate telecoms This is a pathfinder project and its
GSM-R transaction in France. systems to create a single network. successful completion could make it the
Synerail which holds the GSM-R contract Synerail along with SNCF is working template for future PPP rail projects in
– a PPP between the company and France’s towards modernising the France’s railway France.
national state-owned railway Société network and the successful refinancing of Synerail is majority owned by Vinci
Nationale des Chemins de Fer Français its senior debt is seen as an endorsement Concessions (70%) with a minority share
(SNCF) – last May refinanced its senior debt of the PPP model of which the GSM-R was held by France’s second largest mobile
raising €54 million from three commercial the first rail PPP in France. service operator SFR which has been
banks. This greenfield project was awarded in rebranded Xp Fiber.
The financing was arranged by Crédit 2010 and has a 15-year concession ending
Agricole, SMBC Europe and Intesa San in 2025. At the end of the concession,
Paolo across two tranches both with a tenor the French government will take over
of four years. management of the network but the
GSM-R – the Global System for Mobile decision on future management remains to Advisers:
Communications, Railway – is a global be made.
• Eight Advisory
mobile telecoms system dedicated to the A PPP model was chosen for this project
railways that is compatible with European as the government sought to mobilise • White & Case
inter-operability standards. capital quickly by utilising private sector • Allen & Overy
The project replaced the RST analogue support for major strategic investments in • Clifford Chance
telecoms network to ensure uniformity in the country.
the exchange of information within the The refinancing last year allows Synerail • De Pardieu Brocas Maffei
framework of operational rail networks. to optimise its financing plan and cash
For the European mass transit award in for the services provided, thereafter the
the transport, IJGlobal has selected an train operating companies will make lease
interesting project – led by Allianz Global payments to the Lessor SPV.
Investors – to finance 55 battery-electric- To support the procurement of innovative
powered trains to be operated in the state battery-powered trains and encourage
of Schleswig-Holstein, northern Germany. the shift from diesel to much cleaner
These trains can operate on non- electric power, the Schleswig-Holstein is
electrified and on electrified routes and have providing a debt service guarantee from
a range of 80km at a driving speed of up to commencement of construction up until the
160km/h while on pure battery mode. The end of the planned operations period.
trains can operate on 80% of non-electrified For passengers, they will enjoy more The total debt raised for the XMU
routes in Germany and can be charged comfortable trains paired with an increased transaction amounts to between €150
while driving, at train stations and with the regularity of services providing an essential million and €200 million and demonstrates
energy generated during braking. service to travellers in the region. The Allianz Global Investors’ structuring
It gets a green thumbs up as these goal also is to incentivise travellers and capability by packaging the full 32-year
trains will replace 46 diesel-powered units commuters to use public transport over financing package into one simple and
transforming Schleswig-Holstein’s current individual car journeys and therefore stable fixed-rate instrument. AllianzGI set
network that is currently 70% reliant on contribute to a significant reduction in CO2 constant monthly annuity repayments during
diesel-powered trains which compares emissions. the full 28-year operations phase.
poorly to the German average of 43%. The XMU transaction finances a Lessor
The trains – with higher energy-efficiency SPV to purchase the trains throughout a Advisers:
and an innovative battery drive concept – 4-year construction period, with the trains • Ashurst
also play a significant role in both the state’s then leased to several train operating • K&L Gates
and Germany’s long-term goal of net zero companies. The state of Schleswig-Holstein • Mazars
emissions. will pay the train operating companies
European transport
A465 PPP
The A465 PPP – Heads of the Valleys Road Through the MIM model, the Welsh three tranches, £593 million in senior debt
Project – sees Meridiam take the limelight government can invest up to 20% of and an equity bridge loan of £51.5 million.
once again for social infrastructure in the project’s equity. It also allows the The £235 million senior debt was secured
Europe for a pathfinder deal that made it to government to nominate a director to sit on with a 28 year 11 month tenor.
financial close last October in Wales. the board, thereby giving it greater control.
It’s a long time since the UK boasted a After years in the making, this deal
pipeline of PPP transactions so any deal of was pushed through to financial close Advisers:
significance making it over the line in the in a challenging environment with the • Societe Generale
country warrants consideration for an award, sponsor – a JV of FCC and Meridiam – • PwC
but the pathfinder nature of this Welsh deal closed the deal in just three months from • DLA Piper
makes it a dead cert. award… testament to their combined • Ashurst
When choosing awards, it stresses industry experience and the resilience of • Herbert Smith Freehills
the IJGlobal editorial team to choose infrastructure projects.
• Eversheds Sutherland
an obvious winner, scanning the other The A465 runs from Dowlais Top to
• Pinsent Masons
submissions to see if there is anything there Hirwaun and was initially brought to market
that gives them the edge against a deal that in 2014 as a PPP to expand a 17.7km • Jacobs
is likely to sweep the board with other titles. stretch of road from a 3-lane single • Mott MacDonald
However, when you stack up the pros for the carriageway to a 2-lane dual carriageway, • Steer
A465 and take into account that this is the first along with the construction of a 2.2km • Willis
deployment of the Welsh mutual investment stretch of new road. • AON
model (MIM) which it evolved from the The project has an associated cost of • Marsh Insurance
Scottish NPD alternative to England’s PFI/PF2. £644.5 million with debt arranged across
WE DELIVER
SUSTAINABLE
INFRASTRUCTURE
WITH GREATER
IMPACT
Together with our investors and partners, we deliver long term, essential
and sustainable infrastructure that improve the quality of people’s life.
All our projects contribute concretely to the United Nations Sustainable
Development Goals (SDGs), in particular: combating climate change,
building resilient infrastructure and ensuring access to clean and
affordable energy for all.
All provide impactful solutions today and for future generations.
CREATING VALUE
BY THINKING
DIFFERENTLY
Proactive sourcing of
bespoke investments
Mid-market focus
Aligned partner
ancala.com
You don’t see many European financings tail (six months) than comparable financings
of concentrated solar power let alone a that require tails of up to two years.
refinancing of CSP and – as such – this Beyond that, the new structure also
deal warrants being singled out. enabled Atlantica Yield to increase its
The €326 million refi by Atlantica Yield CAFD (distributions) from the project while
also stands testament to the skills of enabling a simultaneous dividend recap for
primary deal leaders – Cantor Fitzgerald and itself against the existing structure.
Assured Guaranty. Project Helios is also the first rated CSP
Cantor Fitzgerald wore several hats on transaction globally following Solaben 1&6
this Spanish refi as financial adviser, sole in Spain of the 2015 vintage.
placement agent, ratings adviser and Francisco Martinez-Davis, chief financial
structuring agent; while Assured Guaranty The portfolio refi using Assured Guaranty’s officer of Atlantica, said at the time of
brought its wrapping capabilities. credit enhancement product enabled the financial close: “With this financing, Atlantica
This was first transaction globally that debt product to be rated AA by S&P. The is able to continue to diversify its financing
AG wrapped in the CSP sector, and – even investors in the bond are Barings and sources.”
more significant – it is understood to be the Ampega.
first monoline wrapped CSP… ever. The financial cost for the transaction (all-
It impacts two concentrated solar power in) was sub 2% a result of the AA treatment Advisers:
assets – Helios I and II – that have a and guarantee provided by Assured • Cantor Fitzgerald
combined generating capacity of 100MW Guaranty, while also providing Atlantica • Clifford Chance
and are built on 220 hectares in Ecija, Yield with improved tenors and leverage to • Watson Farley & Williams
southern Spain. The projects were initially comparable existing financings. • BDO
owned on a 50:50 basis by E.ON and The Assured Guaranty refi came in at • Altermia
Atlantica Yield – previously Abengoa Yield – roughly 100bp less than other non-wrapped • PwC
but are now 100% owned by Atlantica Yield. deals in the market with a shorter regulatory
The winner of the digital infrastructure third of €694 million of potential existing
refinance award in the fibre category goes Open Fiber – a landmark lenders non-consenting to the amendment
to Open Fiber – a landmark transaction in and reinstatement.
the infra sector in both Italy and Europe.
transaction in the infra sector Following a first successful process with
BNP Paribas played a leading role in this in both Italy and Europe. the existing lenders, only one bank exited
transaction, acting in an advisory capacity the transaction, reducing the backstop
while also serving as structuring bank, underwriting to €70 million, while the
modelling bank, global coordinator, global other existing lenders increased their
bookrunner, underwriter, initial mandated provided a €510 million bridge loan to commitments by some €279 million.
lead arranger and hedge coordinator. OF, which was still at development phase,
The execution timing for the A&E was achieving close in October 2018.
particular as it was running in parallel In early 2020, following an update of
with ongoing M&A discussions on ENEL the original business plan, BNPP, SG and
exiting to Macquarie and Cassa Depositi Unicredit started discussions with OF on
Advisers:
e Prestiti taking a leading role in the future the best way to address additional financing
needs. • BNP Paribas
consolidation of the broadband market in
Italy, therefore securing the financing of the This translated into a structuring and • Societe Generale
business plan of Open Fiber was of critical advisory mandate whereby, through an • Unicredit
importance for both shareholders. amend and restate process, a €675 million
• Gianni Origoni Grippo & Partners
Open Fiber was created to roll out a top-up, non-recourse facility was added to
national FTTH network impacting 19.4 the existing debt package as a complement • White & Case
million households in Italy under a to the €450 million additional equity • Artur D Little
concession regime benefiting from public commitments brought by the sponsors. • EY
grants from Infratel. When complete, OF’s The three banks were also mandated
to each underwrite one third of the €675 • Analysis Mason
network will be the largest in Europe. BNPP,
Societe Generale and Unicredit in July 2017 million top-up facility, and backstop one
The €100 million refinance of Coriance is with the company’s performance across a
the winner of the IJGlobal award for refi Coriance supplied 2TWh number of sustainability KPIs. Under this
in the district heating sub-sector of the innovative sustainable finance structure, the
European social infrastructure category – a
of heat, of which 68% was facilities provide a further €100 million of
deal with a healthy sustainability angle. generated from renewable funding for Coriance’s growth over the next
As the third largest district heating energy sources, making five years.
business in France, Coriance operates Committed growth projects include
a network of district heating and energy Coriance the greenest district network expansions for a number of
assets via long-term concessions serving heating operator in France. concessions, and further increasing the
215,000 household-equivalents. It caters proportion of renewable energy in the
for a diverse range of customers including production mix.
public and private housing managers, It generates the majority of its revenues DC Advisory played a key role as financial
schools, universities, hospitals, municipal from these long-term DSP contracts, typically adviser on this refi, building in clever
buildings and industrial customers. with a duration of 20-30 years, with an sustainability elements that are becoming
Its portfolio consists of 34 concessions average remaining contract life of 15 years. increasingly common in transactions across
under the Délégation de Service Public It has been jointly owned by First Sentier the globe and will feature a great deal more
(DSP) framework and one private contract. Investors’ EDIF I, EDIF II and GDIF unlisted regularly in IJGlobal awards in years to come.
In total, it has an installed heat capacity of infrastructure funds since August 2016.
1.3GW and an installed power capacity of Coriance in March 2020 successfully Advisers:
150MW. closed the refinancing of €100 million of • DC Advisory
In 2020 Coriance supplied 2TWh of senior facilities – capex and term debt – • Latham & Watkins
heat, of which 68% was generated from with existing lenders NAB and Westpac. • Allen & Overy
renewable energy sources, making Coriance Both the capex facility and term loan were • BDO
the greenest district heating operator in structured as sustainability improvement • Sustainalytics
France. facilities that link the pricing on the loans
2020
North America
winners
Winners in the North America transaction category are:
• Editor’s Choice North America – • North American petrochemicals – • North American renewables tax
Prince George’s County Schools Alberta Propane Dehydrogenation/ equity – ENGIE Jupiter Wind and
Polypropylene project Solar Portfolio Tax Equity Raise
• North American digital infra – MBTA • North American power, US – CPV • North American renewables, onshore
AFC 2.0 Project Reset Three Rivers Energy Centre wind – Western Spirit
• North American digital infra acquisition • North American refinancing, oil • North American social infrastructure,
– Zcolo Acquisition Financing & gas – Freeport LNG Train 3 energy – University of Iowa Utility
Refinancing System P3
• North American oil & gas – Whistler • North American refinancing, power
Gas Pipeline – Linden Cogeneration • North American social infrastructure,
education – Prince George’s
• North American battery storage – • North American refinancing, County Schools
Bolt Battery Storage renewables – Project Arcadia
• North American transport, brownfield
• North American export finance – • North American renewables, solar –
– Iowa Interstate Railroad
Verizon Communications Highlander
• North American renewables, • North American transport, greenfield
• North America power – Canada – Highway 104
geothermal – Geysers Facilities
900MW Cascade Power Project
Project • North American water – San
• North American oil & gas – Canada • North American renewables M&A – Antonio Water Vista Ridge P3
Coastal Gaslink Pipeline Sunrun acquisition of Vivint Solar Refinancing
laing.com
MAKING
INFRASTRUCTURE
HAPPEN
www.ijglobal.com Summer 2021
97
IJGlobal Awards 2020 North America
2020
The deal involved the acquisition of and a second closing involving French With the acquisition of zColo’s assets,
zColo’s 44 data center facilities across 23 assets occurring at a later date to allow for DataBank offers its customers access to:
markets, adding to DataBank’s existing approvals to be processed. • 65 data centres in 29 markets (up from
portfolio of 20 assets. The transaction was funded by an 20 data centres and 9 markets)
This “transformative transaction puts investor group led by Colony Capital, • 1.1 million raised square feet of data
DataBank at the forefront of the edge DataBank’s controlling shareholder. In centre space
infrastructure wave,” enabling clients to addition to leading a consortium of world- • 141MW of installed UPS capacity
move their services closer to end-user class institutional investors to support the • Over 30,000 network cross connects
populations in second-tier markets, says acquisition, Colony Capital invested $145 • 20 major network interconnection points
DataBank. million from its balance sheet to maintain its • 13 cloud nodes
Given the scope and nature of the 20% stake in DataBank.
acquired assets, the financing required Market players involved in the debt Advisers:
a unique level of collateral review and package included TD Securities, Société • DH Capital
diligence. The deal also involved staged Générale and Truist Bank, TD, Société • Jones Day
closing, with the first involving US and Générale, CoBank, Regions Bank and • JP Morgan
UK assets occurring in December 2020 Natixis. • Skadden Arps
The Whistler Pipeline is jointly owned by The unique bank-bond hybrid comprised The project’s construction schedule
WhiteWater Midstream, MPLX and a joint an $820 million term loan A, $110 million in necessitated launching the financing at
venture of West Texas Gas and Stonepeak DSR LC facilities, and a dual-tranche $824 the height of the pandemic with market
Infrastructure Partners. The project is for million US private placement. dislocation exacerbated by the Russia-
the construction and operation of a 500- The majority of the project’s 2.0 Bcf/d Saudi Arabia standoff, which generated a
mile greenfield natural gas pipeline Texas, capacity is contracted through 10 to negative oil futures environment during the
connecting the Permian Basin to the Agua 12-year transport service agreements transaction.
Dulce hub, providing direct access to the with contracted volumes from primarily
South Texas markets as well as LNG and investment grade counterparties. The
Mexican exports. Whistler Pipeline has unmatched Advisers:
It was the largest hybrid greenfield connectivity to the Delaware Basin with 10 • Milbank
project financing on record and the first connections in Waha, including indirect • Latham & Watkins
ever greenfield pipeline project to obtain connections to 16 gas processing plants • Sidley Austin
a Baa3 investment-grade (private) rating through the Agua Blanca system, and to the • Lummus Consultants International
from Moody’s. It was funded through a Midland Basin, via a 51-mile, 36 inch lateral • Moore McNeil
combination of equity, term loan, and connecting directly to Midland Basin gas • Wood Mackenzie
private placement proceeds. processors.
Global telecommunications company However, with the instability in the recovery following months of instability in
Verizon Communications closed on 2 markets created by the COVID-19 the market. Our team has long supported
corporate financings with Deutsche Bank pandemic, Verizon returned to the ECA the quick and seamless execution of unique
in June 2020 which included a $1.5 market with 2 big-ticket financings. These financings across industries, and foresees
billion EKN guaranteed (and SEK funded) financings demonstrate the importance this trend to continue as companies react to
financing and a $500m Finnvera guaranteed agency lenders play in the rebound of the the fall out of the pandemic.”
financing. financial markets even for investment grade
Verizon used the financing to purchase borrowers like Verizon.
equipment in connection with the build At the time of financial close, Joseph Advisers:
out of the 5G network. Verizon had not Stefano, banking and finance partner • Allen & Overy
accessed the ECA supported financing in A&O’s New York office, said: “These • DLA Piper
market for several years as it was able to financings illustrate how key ECA backed • Vinge
obtain better pricing in the bond market. financings will be to prop up economic
Financial close was reached on Coastal with CGL to provide them with an
GasLink Pipeline’s (wholly owned by TC opportunity to acquire a 10% equity interest
Energy) 7-year C$6.6 billion senior secured in the CGL.
credit facilities in April 2020, representing CGL is a critical Canadian-based
the most advanced West Coast LNG project infrastructure asset that will provide feed
in North America. gas to the country’s first west coast LNG
Concurrent with this, TC Energy sold a export facility. It also represents a critical
65% equity interest in CGL to affiliates of component of Western Canada’s ability to
AIMCo and KKR. meaningfully realize the value of its vast
CGL is a 670km pipeline being natural gas resources, while supporting
developed by TC Energy that will, upon the coal-to-gas energy transition currently
completion, have the capacity to transport underway globally.
6.4 Bcf/d of natural gas from Dawson
Creek to an LNG facility in Kitimat, British Europe and Asia with sufficient ‘dry powder’
Columbia. to support the potential Phase II project Advisers:
TransCanada Pipeline, another wholly- expansion. The financing also included a • Norton Rose Fulbright
owned subsidiary of TC Energy, was C$200 million letter of credit. • RBC Capital Markets
mandated by Shell Canada and its partners The construction facility is the largest • Blakes, Cassels & Graydon
to design, build, own and operate the project finance facility and second largest • Lummus Consultants International
project. The project is expected to be in syndicated facility in Canadian loan market • Moore McNeil
service in 2023, with the capacity fully- history. Additionally, the interest rate swap • ERM
contracted to several investment grade executed for the project was the largest in • Wood MacKenzie
shippers. Canadian market history. • Operis
The transaction involved a widely Under the deal terms, TC Energy is also • Osler Hoskin Harcourt
syndicated lending group consisting 27 committed to working with the 20 First • Stikeman Elliott
banks participating from North America, Nations that have executed agreements
North American petrochemicals North American power deal of North American refinancing deal
deal of the year – Alberta the year, US – CPV Three Rivers of the year, oil & gas – Freeport
Propane Dehydrogenation/ Energy Centre LNG Train 3 Refinancing
Polypropylene project
Competitive Power Ventures, a developer, The $3.4 billion refinancing for Train 3 of
The Alberta Propane Dehydrogenation/ owner, and operator of utility-scale power the Freeport LNG facility to refinance the
Polypropylene project is one of the largest projects, reached financial close on its existing construction and operation debt,
petrochemical deals to take place in North 1,250MW Three Rivers combined-cycle closed in May 2020.
America. Pembina Pipeline Corporation, gas-fired project in Illinois with equity from 4 Proceeds of the financing were used to
in partnership with the Canada Kuwait co-investors and a combination of floating- pay down the existing bank debt for Train
Petrochemical Corporation, is developing and fixed-rate debt. 3 and hedge termination costs, pay for
the integrated propane dehydrogenation CPV Three Rivers was the first quasi- transaction costs and remaining costs for
plant and polypropylene upgrading facility to merchant gas-fired financing to close the completion, ownership, operation and
be operational by mid-2023. during COVID-19. The equity investors for maintenance of the Train 3 facility, and the
the $1.3 billion project were GE Energy payment of dividends to the sponsors.
Financial Services, Osaka Gas USA, Axium The financing included $2.4 billion in
Infrastructure and Harrison Street. BNP term loan facilities, a $750 million future
Paribas, Crédit Agricole and MUFG led on bond tranche term loan facility, $181
the $875 million construction-plus-5-year million DSR letter of credit facility and a $50
debt package, which closed in August million working capital loan. Eighteen banks
2020. participated in the financing.
The project was financed on the basis
of several gas-netbacks with undisclosed
Canadian gas producers, with tenors of up
to 10 years. Once completed, the project’s
capacity and energy will be sold into the
PJM ComEd Zone.
Even though CPV Three Rivers’ debt
quantum pushed against the size
constraints of the bank market, the deal was
able to achieve competitive loan pricing
initially targeted, without needing to flex, a The transaction reduced the project’s
remarkable achievement given the size of cost of debt and improved the overall
the transaction and the pandemic. credit profile for lenders. It was executed
At transaction closing, PJM and the FERC and closed during the height of COVID-19
had not yet agreed to rule changes for the market disruption and was only possible
Lenders on the deal were National Bank annual PJM capacity auctions, which caused due to the strength of banking relationships,
of Canada, National Bank of Kuwait, The the 2 auctions to be postponed. This delay high quality sponsorship and conservative
Bank of Nova Scotia, Bank of Montreal, reduced near-term visibility for a significant financing structure.
CIBC, Export Development Canada, MUFG, component of the project’s cash flow and Freeport 3 LNG is a 5 MTPA liquefaction
Union Bank and TD Bank. raised the question about future auctions. facility that is part of the Freeport LNG
The project will see the development of The structuring banks addressed this by Development in Quintana Island, Texas. The
a world-scale propane dehydrogenation requiring contingent equity and accelerated Freeport LNG Development was originally
facility with capacity for the conversion of an repayment mechanisms if auction prices fall developed in 2002 and later expanded in
estimated 23kbpd of propane into around short of forecast. 2014 into a liquefaction facility capable of
550kTa of 99% polymer grade propylene exporting LNG.
It would process 23,000 of Alberta The transaction replaced the existing
propane per day to produce more than holdco-level debt from May 2018 with opco-
550,000 tonnes of recyclable plastics level debt in order to optimise the sponsor’s
pellets each year, which would be used financing strategy.
for a variety of finished products such as Advisers: Construction of the project was 99%
automobiles, medical devices, food packing, • Milbank complete before the transaction closed.
and home electronic appliances. • Latham & Watkins
• Leidos
• Moore-McNeil
• ESAI Advisers:
• Riverside • Kirkland & Ellis
Advisers: • King & Spalding • White & Case
• Latham & Watkins • Sidley Austin • Societe Generale
• White & Case • Hunton Andrews Kurth • CIBC
• Dentons Canada • Bracewell • MUFG
• Stikeman Elliott • Shearman & Sterling • Natixis
North American refinancing North American refinancing of North American renewables deal
of the year, power – Linden the year, renewables – Project of the year, solar – Highlander
Cogeneration Arcadia
In July 2020, sPower reached financial close
The Linden Cogeneration facility in Linden, In 2020, TerraForm Power refinanced a on the $704 million Highlander Solar, a
New Jersey is a 974MW natural gas portion of a loan through a new senior 620MWdc/485MWac solar project located
cogeneration plant made up of 6 units. The secured note issuance lent at a 3.38% rate in Spotsylvania County, Virginia - one of the
first 5 units became operational in 1992, with a tenor of 23 years and 4 months and largest solar projects on the East Coast and
while the sixth came online in 2002. Of the 9.6 year weighted average life. the fifth largest in the US.
unit, 5 sell their output spot into Zone J of TerraForm Power acquired 322MW of Highlander Solar consists of 4 staggered
New York-ISO, and the other is contracted commercial and industrial rooftop solar, project phases with the site located 67
with Phillips 66 Co’s Bayway oil refinery until residential rooftop solar, and fuel cells in miles from Washington DC and more than
2032 and sells excess output spot into PJM the US from subsidiaries of AltaGas in 50 miles away from Northern Virginia’s
Interconnection. September 2019, paying $720 million ‘Data Centre Alley’ in the Dulles Technology
for the assets. The portfolio is among the Corridor, home to the world’s largest
largest distributed generation portfolios concentration of data centres.
in the US, with a strong presence in core The non-recourse debt financing
markets and a high level of diversification consisted of a $325 million tax equity
across 19 states and Washington DC. bridge loan, $256 million construction to
The deal brought TerraForm’s distributed term loan facility, $61 million term loan
generation portfolio to 750MW. facility and a $62 million letter of credit
facility. The financing incorporated a unique
strategy focused on pre-development
collaboration between off takers and the
The company is owned by a consortium sponsor.
of JERA Co, Ares Management Corp, The deal was executed on a club basis
Oaktree Capital, the Development Bank of with a group of project finance banks. In the
Japan, and HPJV1 – itself a joint venture end, 9 banks committed to the transaction.
between GS EPS and a fund managed by It was one of the first broadly syndicated
Hana Alternative Asset Management on renewable transactions to be circled post
behalf of Mirae Asset Daewoo. COVID-19 after 2 years of delays and
The owners reached a $1.1 billion deal unexpected obstacles - a testament to
with 6 banks (Jefferies, Barclays, Citi, MUFG, the company’s experience, the quality of
BMO Capital Markets, and Investec) to the underlying asset, and the support of
refinance an existing term loan B and pay financing partners.
a dividend to the owners. Jefferies served The project is located within the PJM
as the left lead on the transaction, which To fund the initial acquisition of the Interconnection and is supported by seven
reached financial close on 1 October. portfolio in 2019, TerraForm secured a $475 15-year PPAs with high-profile, well-rated
The term loan will be portable in the million non-recourse bridge loan with a 364- counterparties including Apple, Etsy and
event the asset is sold, as long as the buyer day maturity and the option to extend for up Microsoft, highlighting the growth of data
already owns gas-fired generation facilities to an additional 12 months. centre and tech demand for sustainable
totalling at least 500MW. In addition to the The company raised $296 million from sources of energy.
term loan, the refinancing also included a this refinancing. This transaction was Once complete, the project will offset
$100 million 5-year super senior revolving underpinned by operating projects with about 825,000 tonnes of carbon dioxide
credit facility. long-term PPAs extending until 2044 emissions per year. In fact, ESG corporate
The 7-year term loan B was priced at with predominantly investment-grade (or goals were taken into consideration
Libor+350bps (with a 1% Libor floor) and equivalent) federal, municipal or utility throughout the transaction.
received strong interest from investors counterparties. The 23.3-year maturity took PV modules will be supplied by Jinko,
during syndication; as such, it was resized advantage of the full life of the contracted the world’s largest module manufacturer,
from $950 million to $1 billion. The deal cash flows and enabled the sponsor to lock and inverters will be provided by SMA, the
benefited from being one of the few new in interest expenses at current low rates for world’s third largest inverter manufacturer.
infrastructure term loan Bs at the time, the long term.
meaning the sponsors had the demand for Natixis and the Royal Bank of Canada
themselves. served as the joint placement agents on
Moody’s Investors Service and S&P the bond financing. The deal closed in
Global Ratings assigned Ba3/BB- ratings September 2020 and was rated BBB- by Advisers:
to the term loan and Ba2/BB- ratings to the Fitch. • Sheppard Mullin Richter & Hamilton
revolver. • Milbank
• DNV GL
Advisers: Advisers: • nFront Consulting
• White & Case • Milbank – legal • Moore McNeil
• Latham & Watkins • Skadden – legal • CohnReznick Capital
North American renewables deal North American renewables North American renewables tax
of the year, geothermal M&A deal of the year – Sunrun equity deal of the year – ENGIE
Geysers Facilities Project acquisition of Vivint Solar Jupiter Wind and Solar Portfolio
Tax Equity Raise
This $1.1 billion Geysers Facilities Project Vivint Solar acquired Sunrun, a leading
was a Climate Bond Certified deal that saw home solar, battery storage and energy The deal saw ENGIE North America
the refinancing of assets owned by Geysers services company, in an all-stock negotiate the sale of a 49% stake in its
Power Company – 13 geothermal power transaction valued at $9.2 billion - the 2.3GW renewables portfolio (Project Jupiter) to
plants in the Mayacamas Mountains region, second largest solar deal in 2020. Hannon Armstrong Sustainable Infrastructure
75 miles north of San Francisco. Founded in 2007, Sunrun pioneered Capital. The portfolio covers 9 wind projects
The projects went online between 1971 home solar service plans to make local (totalling 1.8GW) and 4 solar projects (500GW)
and 1989, and together the assets are clean energy more accessible to everyone across ERCOT, MISO, PJM Interconnection,
the largest complex of geothermal power for little to no upfront cost. Sunrun’s and the Southwest Power Pool. The projects
plants in the US – responsible for providing innovative home battery solution, Brightbox, have a wide range of corporate offtakers
almost one-tenth of the renewable power brings families affordable, resilient and including Amazon, Microsoft, and Walmart.
produced in California every year. Its steam reliable energy.
resources, interconnected fields and water
reinjection capabilities make the Geysers a
Sunrun pioneered home solar The deal will represent a major
unique geothermal facility with the capacity
to produce 725MW of electricity around the service plans to make local milestone in achieving ENGIE’s
clock.
clean energy more accessible goal of 9GW of additional
Calpine Corporation, of which Geysers
is a subsidiary, sought to refinance the to everyone renewable capacity by 2021.
portfolio to reimburse itself for its equity
investment, secure funds for O&M and Upon signing the deal, Hannon immediately
capital expenditure, and repay corporate Vivint Solar stockholders received 0.55 took its 49% stake in the 4 wind projects
and project-level debt. It agreed a shares of Sunrun common stock for each that had already come online. The other
refinancing arrangement with 12 banks: share of Vivint Solar common stock they projects were transferred into the portfolio
MUFG, BNP Paribas, Crédit Agricole, owned immediately prior to the completion upon commissioning. When the project is fully
Natixis, Mizuho, National Bank of Canada, of the acquisition. Post-closing, Sunrun had complete, it will represent a major milestone in
Sumitomo Mitsui, SunTrust Robinson a market capitalisation of around $17 billion achieving ENGIE’s goal of 9GW of additional
Humphrey, CoBank, Rabobank, ING Capital, based on the closing prices of Sunrun renewable capacity by 2021.
and DZ Bank. common stock and an enterprise value of ENGIE retains a controlling stake in
The financing comprised a $900 million, circa $22 billion on a fully-diluted basis pro- the portfolio and will continue to manage
senior secured 7-year term loan, a $130 forma. The combined company continues to the assets. In April 2020, the company
million RCF and a $70 million letter of credit. trade on the Nasdaq Global Select Market had secured US$1.6 billion tax equity
The loan was priced at Libor +200 bps, with under the ticker symbol RUN. commitments, bringing the total tax equity
pricing scheduled to step up by 12.5 bps At the time of closing, Lynn Jurich, commitments for the portfolio to almost
every 3 years. Sunrun’s CEO and co-founder, said: US$2 billion. The size of the portfolio and
Calpine’s attempts to refinance the “Together, we will provide affordable, reliable the magnitude of its tax equity financing
project were delayed by the Kincade and clean electricity at an exciting new demonstrates ENGIE’s successful
wildfires in the Geysers geothermal field, scale. With our compelling services, millions development in this market.
which broke out in October 2019, and of homeowners will rewire their homes The financing was notable for its single
resultant investor uncertainty. Calpine had with solar and batteries to enjoy enhanced tax equity structure. Financing wind and
initially aimed for a $2.07 billion, 4-tranche comfort and affordability. The combined solar projects together is an unusual step,
senior secured transaction led by Barclays, company benefits from broad market reach as the 2 project types typically benefit from
but the fire led initial plans to be shelved. and differentiated consumer offerings. A different forms of tax credit. This helped
Nonetheless, Calpine’s pedigree allowed it lower cost structure from greater scale will make the deal one of the largest portfolio
to maintain investor confidence and secure accelerate the transition away from polluting financings of wind and solar projects ever
the new refinancing on a slimmer, simpler and unreliable fossil fuels.” publicly reported.
basis than the initial proposal. Gwenaelle Avice-Huet, CEO of ENGIE
Advisers: North America, said: “This is an important
• Simpson Thacher step in our zero-carbon energy transition
• Wilson Sonsini Goodrich & Rosati in the United States, and we are excited
• Cooley to have the support of our strong partners,
• Weil Gotshal & Manges Bank of America and HSBC in this tax
• Gibson Dunn & Crutcher equity financing.”
• Fried Frank Harris Shriver & Jacobson
Advisers: • Credit Suisse Securities
• White & Case • Morgan Stanley
• Leidos Advisers:
• BofA Securities • Bank of America
• Latham & Watkins • Black & Veatch
• DNV GL • Orrick
• Axinn Veltrop & Harkrider
The University of Iowa Utility System procurement of the utility systems’ required of how an injection of private capital and
P3 is indicative of the growing trend for fuel and energy needs to optimise plant expertise can assist public institutions in
universities which are looking for ways to operation, ensure reliability and meet achieving their wider organisational priorities
raise funds and monetise existing assets to campus demand. This project aligns with (beyond mere profitability) on time and on
make much-needed energy infrastructure the university’s goal of being coal-free by budget.
improvements. This deal was the second 2025.
campus-scale university P3 in the US - The concessionaire (ENGIE and
following Ohio State University - and one of Meridiam) issued an A- rated (Fitch) 30- Advisers:
the largest projects in the entire sector. year $613 million private placement note • Allen & Overy
The $1.165 billion P3 project will rebuild along with sponsor equity. Banks also • Shearman & Sterling
the university utility system to provide provided a $259.7 million capex facility • Jones Day
more efficient steam, cooling, water and structured alongside the long-term debt that • Hunton & Williams
electricity over a 50-year concession. The will be drawn to finance the capex works • Allen & Overy
concessionaire will be responsible for the associated with the capital improvement • Lane & Waterman
O&M of the electrical systems, steam, plan. • Wells Fargo
domestic water, chilled water, sanitary The concession at the University of Iowa • Jacobs
and storm sewer, high-quality water, utility is particularly significant because it is being • Barclays
network maintenance, energy control centre, driven not only by economic efficiency • Norton Rose Fulbright
environmental compliance and related but also by the University’s strongly-held • E3 Consulting
distribution systems serving two campuses. commitment to sustainability and energy • Mazars
The O&M component also includes the conservation. It is a market-leading example
North American social North American transport deal North American transport deal of
infrastructure deal of the year, of the year, brownfield – Iowa the year, greenfield – Highway
education – Prince George’s Interstate Railroad 104
County Schools
iCON V completed the acquisition of a 40% Nova Scotia’s Highway 104 Sutherlands
Prince George’s County in Maryland interest in Iowa Interstate Railroad (IAIS) River to Antigonish Twinning project was
became the first district in the US to from Henry Posner III in 2020 for $812.5 the first highway P3 project in Nova Scotia
finance the construction of 5 new middle million. in over 20 years and the first P3 project to
schools and one K-8 school through a P3, Henry Posner III retains a 60% interest reach financial close in the midst of highly
successfully closing the deal through a in the company, a leading regional freight volatile financial market conditions caused
private placement in December 2020. railroad which owns 412 miles of the 572 by the pandemic.
The deal is expected to pave the way miles of track on which it operates between The 63km long highway was procured
for future school deals in North America Iowa and Illinois. by the Nova Scotia Ministry of Transport
and is designed to accelerate the delivery and Infrastructure Renewal as a long-term
of critical school facilities, cutting the DBFOM project. The twinning of this stretch
delivery time in half with lower construction of Nova Scotian highway, from the boundary
costs and preventative maintenance, with New Brunswick to Antigonish, has been
while advancing economic inclusion a significant community concern for years to
goals through diverse and local business help reduce fatal collisions.
utilisation. The project closed during the peak of the
The winning consortium made up of first wave of the COVID-19 pandemic at a
Fengate Asset Management and Gilbane time when bond markets were in turmoil.
and Prince George’s County Education & However, due to cooperation and flexibility
Community issued $476 million in senior from all parties including government, bank
secured notes, rated an initial A2 by lenders and bond underwriters/purchasers to
Moody’s with a stable outlook. close the project, the financing closed with a
Following commercial and financial close, senior construction facility from CIBC, National
PGCPS and PGCECP together announced Bank of Canada and Royal Bank of Canada
the creation of a $1 million endowed and an offering of both medium-term and
fund supporting scholarships, student long-term bonds undertaken by National Bank
internships, mentoring opportunities and Financial and HSBC Securities (Canada).
apprenticeships valued at $4.7 million,
as part of the school system’s Alternative
Construction Finance Programme.
PGCPS has the second-largest school
system in the state and is among the 20
largest school districts in the US. More than
half of the 208 schools are over 50 years
old. A large percentage of its buildings need
replacement or complete renovation. Rory Hunter, director at iCON
Bob Hunt, managing director, public Infrastructure, commented at the time The debt financing included 2 long-term
institutions at JLL, said: “This P3 is so of final signing: “Over the years we have bond tranches, which took advantage of a
special because it is a major step forward known RDC, we have been continually flat yield curve to provide maximum value
in delivering equal opportunities to the impressed with their commitment to driving for money to the authority. The consortium
students and families of Prince George’s growth at their investments, whilst requiring building the highway is Dexter Nova Alliance
County. Without this agreement in place, the highest safety standards and customer GP and is made up of BBGI (50%), Dexter
it would take more than 15 years for these service levels. Through this partnership Construction (30%) and Nova Construction
schools to get funded and built. Of the we are excited to support Joe, Henry and (20%).
many learnings uncovered from this year’s the broader team in achieving our shared In light of the COVID-19 pandemic, the
pandemic, I think we can all agree on the objective of continuing the strong growth project agreement included customised
pivotal role our schools and their faculties trajectory of IAIS.” force majeure relief for epidemics and
play in the lives of our children.” pandemics during the construction period.
Advisers:
• McKinsey Advisers:
Advisers: • Sidney Austin • Blake, Cassels & Graydon
• JLL • KPMG • Aird & Berlis
• Altus Group • Arup • BoyneClarke
• Operis Group • Ramboll • Stewart McKelvey
• INTECH Risk Management • Marsh • Farris
• Winston & Strawn • Ryan Ratledge • BTY Group
• Torys • Convington • National Bank Financial
• EY
2020
Latin America
winners
Early in 2020 as the coronavirus pan- Winners in the Latin America transaction category are:
demic was building a head of steam,
• Editor’s Choice Latin America – EnfraGen
few people would have believed that so
many infrastructure and energy deals
• Latin American airport – Lima Airport
could have been driven on to financial
close – but that’s what happened. • Latin American digital infrastructure – Scala Data Centers
Latin America was no exception to • Latin American export finance – Amadeus JV
this trend as working form home made • Latin American highway – Autopista Urbana Norte
some wonder whether we ever need to
• Latin American LNG-to-Power – Marlim Azul Financing
return to the office!
Our thanks go out to those who • Latin American mining – Project Serrote
made the effort to submit for the • Latin American oil & gas – Cakua Offshore Gas Compression Station
IJGlobal Awards this year as we raise • Latin American power – Enfragen refinancing
an editorial hat to the industry.
• Latin American power refinancing – AES Panama refinancing
Congratulations all… • Latin American power transmission – Alupar Transmission Line
• Latin American renewables refinancing – INTI
• Latin American social infrastructure – Infraestructura Educativa II
• Latin American transport refinancing – Project Alma
• Latin American water – Sabesp
• Latin American renewables – Javiera/Sol del Desierto US private placement
• Latin American transport vehicles – Project Condor
Latin American airport Latin American digital Latin American export finance
Lima Airport infrastructure Amadeus JV
Scala Data Centers
The refinancing of Jorge Chávez International The US$1.8 billion Amadeus project in Brazil
Airport in Lima was chosen as the winner of In 2020, Digital Colony expanded its was an excellent example of client delivery
the Latin American airport deal of the year to presence in Latin America by launching in the midst of a global pandemic, winning it
refinance its existing debt and complete the Scala Data Centres and winning Latin export finance deal of the year in Latin America.
final stage of its expansion programme. American digital infrastructure deal of the The $1.8 billion project in Minas Gerais,
The airport is operated by Lima Airport year. Brazil involves the construction of one of the
Partners (LAP) with a 30-year concession Digital Colony established Scala Data world’s largest dissolving wood pulp (DWP)
that began in 2001. LAP is a consortium Centers in April 2020, following the plants, with a production capacity of up to
majority-owned by Fraport, with the IFC acquisition of assets from UOL Diveo. The 500,000 tons of dissolved wood per year.
holding a minority stake. hyperscale data centre platform in São It also includes a 144MW cogeneration
The refinancing saw LAP acquire a $450 Paulo is amongst the largest in the country. plant and the management of 70,000ha
million bridge loan from a consortium of 4 Shortly after acquiring its initial assets from of eucalyptus plantations. The project will
banks – BBVA, KfW IPEX-Bank, Scotiabank UOL Diveo, Scala began construction of a reduce greenhouse gas emissions by about
and SMBC – with financial close on 11 third data centre in São Paulo which, when 0.65 million tCO2 per year.
September 2020. The tenor of the bridge combined with existing facilities, will bring The Amadeus project is being developed
loan was 1 year. Scotiabank Peru acted as the company’s total data centre capacity to by LD Celulose (LDC), a joint venture
the administrative agent and SMBC served 50MW. between Lenzing and Duratex. LDC agreed
as the mandated lead arranger. Through this transaction, Digital Colony a $1.1 billion financing package with
The loan allowed the airport to avoid seeks to build a digital infrastructure IDB Invest, the IFC, and 7 international
further delays to its ongoing expansion platform in Brazil that can scale efficiently commercial banks guaranteed by
programme, which has proceeded despite through organic development and Finnvera (Banco Santander, BNP Paribas,
the uncertainties caused by the pandemic. acquisitions. UOL Diveo will continue to Commerzbank, Erste Group, HSBC, KfW
Lima Airport is a vital strategic hub in both partner with Scala to scale its own digital IPEX-Bank, and Raiffeisen Bank). The funds
Peru and Latin America, serving more than infrastructure requirements. cover the remaining financial needs of the
50 overseas cities through 15 airlines. Cloud growth, IT outsourcing and the industrial plant and 63% of the total capex,
The funding supported the construction adoption of new technologies such as 5G with the sponsors providing the balance.
of a second runway and a new air traffic are all projected to drive continued growth IDB Invest and the IFC each provided loans
control tower, which are scheduled for in demand for quality data centres that of $500 million with maturities of 9 and 11
completion in July 2022. These works are can support the next generation of mobile years, whilst international banks provided
part of the airport’s long-term expansion and internet connectivity. This has created around $147 million with maturities of 13 years.
plan, which will eventually see it open a a multibillion-dollar digital infrastructure The transaction was one of the largest
second terminal and accompanying apron opportunity in the region for companies in Latin America this year and will raise
by January 2025. which can support these trends and meet sustainability standards for the Brazilian
Matthias Zieschang, CFO at Fraport, said the demands of global customers. pulp industry and the forest management
after the deal was signed in September The launch of Scala is part of Digital sector. The cogeneration plant will produce
2020: “This excellent transaction is of Colony’s broader efforts to expand its bioelectricity from byproducts of the industrial
paramount significance for the development presence in Latin America, an underserved process, in turn increasing the share of
of Lima Airport. Secured in a very market for outsourced data centres. Digital sustainable biofuels and renewable energy in
challenging environment, this financing Colony previously acquired Highline do the Brazilian energy matrix. Around 40% of the
agreement sends out a strong and positive Brazil from Patria Investments in December excess bioelectricity generated can be used to
signal about Lima Airport Partners and the 2019, and the deal was its fourth investment supply the local public energy system.
entire Fraport Group. in Latin America. The company also owns The project has been responsible for
“Furthermore, the transaction underscores Andean Telecom Partners, active in Peru, the creation of thousands of jobs and the
the strong interest and demand from Chile and Colombia; and Mexico Telecom development of the region, reinforcing the
capital markets for financing well-managed Partners, one of the country’s largest private prominent position of Brazilian industry in
airports that have a long-term and positive tower companies. the cellulose sector. Construction began
perspective – such as Lima Airport Partners Marcus Piego, CEO of Scala, said at in May 2020, with the project expected to
with its major South American hub airport.” the time of announcement: “Scala’s Latin come online in 2022.
American investment strategy is highly
Lenders, advisers: compelling, and its quality data centres will LDC advisers:
enable the next generation of mobile and
• Garrigues Peru – legal (local) • Machado Meyer Advogados – legal
internet connectivity throughout the region.”
• Milbank – legal (NY) • Linklaters – legal
Latin American oil & gas Latin American power Latin American renewables
Cakua Offshore Gas transmission refinancing – INTI
Compression Station Alupar Transmission Line
INTI was selected as renewables financing
The Cakua Offshore Gas Compression The groundbreaking Alupar Transmission deal of the year in Latin America, a
Station is a strategic project for the Mexican Line was the first international project transaction that successfully closed in the
government and increasing oil production financing of a transmission line in midst of the pandemic. The 3 Peruvian
is a key objective for President Lopez Colombia, winning power transmission deal solar assets – Tacna, Panamericana, and
Obrador’s government. of the year. Moquegua – were originally financed by the
The project, located in the Ku-Maloob- The deal supported Transmisora Development Finance Corporation and were
Zaap oil field in Campeche, Mexico, is being Colombiana de Energía (TCE) – a subsidiary among the first solar projects awarded PPAs
delivered by Cakua – a special purpose of Alupar – in the development of a new in the country in the early 2010s, with a
vehicle majority-owned by subsidiaries of the 235km, 500kV transmission line which will generation capacity of 68MW. Each project
ACS Group (Dragados Offshore de México, expand the company’s generation capacity has a 20-year, dollar-denominated PPA with
Dragados Offshore, Cobra Instalaciones y by 30MW, bringing it to a total installed the Peruvian government for 100% of the
Servicios, Dragados Industrial and Avanzia capacity of 460MW. project’s electricity generation.
Instalaciones) with a 95% stake. The remaining Alupar reached a $163.5 million The $225 million refinancing was
5% share is owned by CKA1 Holdings, a mini-perm with 2 banks for the project. negotiated with BNP Paribas, SMBC, and
fully owned entity of Atlantica Yield. MUFG provided $138.5 million, whilst Societe Generale. The 3 assets were
Cakua reached an agreement with 110 the remaining $25 million came from refinanced simultaneously with the 3 banks,
banks – Bancomext, Bank of China, Banobras, Banco Sabadell. The tenor of the loan is having originally been financed through
Intesa Sanpaolo, ING, Mizuho, MUFG Bank, 7 years, and the total equity for the deal separate financing lines due to local legal
Nacional Financiera, Norinchukin Bank, and is $250 million. This transaction was the constraints. Structured on a club deal basis,
Societe Generale – for the $404 million 10- first international project financing of a the refinancing amounted to $225 million
year senior secured financing. The funds will Colombian transmission line, and it was across a 12- to 14-year fully amortising term
partially refund Cakua’s development costs, negotiated almost entirely virtually. loan and a 7-year DSRA LC.
refinance existing bridge loans, and fund the The new line, which includes 2 The refinancing improved considerably
remaining costs of the project. The total value connection terminals, will run between La on the initial terms reached with DFC. This
of the deal is $630 million, and the total equity Virginia and Nueva Esperanza, crossing the work resulted in a lower DSCR, extension of
is $146 million. departments of Risaralda, Cundinamarca, tenors, lower pricing and replacement of cash
The project involves the construction Tolima, Quindío and Valle del Cauca. When funded debt reserves with DSCR Letters of
of 4 turbo compressor units and 3 turbo complete, the project will provide electricity Credit. The 12-year tenor of the new financing
generators with a daily processing capacity to over 2 million households. also matches the remaining lifetime of the
of 450MMCF. The mechanical and process Alupar won the contract to build the PPAs signed with the Peruvian government.
design for the gas compression station project in November 2016 after a tender At the time of the deal, Solarpack said that
was designed to compress sour gas to be organised by the country’s Mines and the refinancing freed up $29 million, to be
reinjected to assist oil and gas extraction. Energy Planning Unit (UPME); the company reinvested into the company.
The Ku-Maloob-Zaap field currently produces bid $182.7 million and projected an opening The deal allowed the 2 companies to
around 750,000 barrels of oil per day and date of 30 September 2020. Alupar beat refinance the original debt to DFC entirely
represents around 50% of the country’s rival bids from Interconexión Eléctrica with private sector funding, taking advantage
crude oil production. The current Mexican and Empresa Energía de Bogotá, both of banks’ increased appetite for PPAs in the
government under President López Obrador Colombian companies. country. In this regard, the transaction is a
has pledged to increase oil production by The new transmission line is part of concrete example of the development of the
1.0MMbpd by 2024, after Pemex’s production Alupar’s widening portfolio in Colombia. The project finance market in Latin America since
halved between 2004 and 2019. company’s existing assets include Risaralda the project was first developed a decade ago.
The field itself is owned by PEP, which fully Energía – operator of the 19.9 MW Morro
contracted the project under an 11-year take- Azul hydro project, which was brought
or-pay Compression Services Agreement. online in September 2016. The La Virginia Advisers to Solarpack and Ardian:
Dragados Offshore México is responsible – Nueva Esperanza line is the company’s • Rodrigo Elias & Medrano Abogados –
for engineering, procurement, construction, first transmission asset in Colombia, legal (local)
installation, operations, and maintenance. complementing its existing transmission • Clifford Chance – legal (international)
assets in Brazil. • Astris Finance – financial
Advisers to Cakua: Advisers to the lenders:
• Garrigues – legal • Garrigues Peru – legal (local)
Advisers to the lenders: Advisers to Alupar: • Milbank – legal (international)
• Allen & Overy LLP – legal • Norton Rose Fulbright – legal Advisers to the collateral agents:
• Ritch Mueller – legal • Leite, Tosto e Barros – legal • Estudio Echecopar/Baker McKenzie –
Other advisers: • Brigard Urrutia – legal legal (local)
• Black & Veatch Management • Hinckley Allen – legal (international)
Consulting - independent engineer Advisers to the lenders:
Technical advisers:
• AON - insurance adviser • Holland & Knight – legal
• DNV GL
• PwC - model auditor • Milbank – legal
• Grupo Mercados Energeticos
• Netherland Sewell & Associates - • Structure Banca de Inversión –
Consultores
reserves report financial
IDB Invest supported Uruguay’s education by the National Administration of Public a greater selection of technical and
sector by providing a loan to help upgrade Education (ANEP) and the Uruguayan polytechnic schools. Moreover, the
a schools package at a time when these Institute for Children and Adolescents construction of new sporting infrastructure
types of projects are experiencing credit (INAU) – for the design, construction, and will benefit adult communities in the vicinity
restrictions due to the pandemic.. maintenance of 42 public educational and of the new facilities. Many of the new
IDB Invest provided a $25 million loan to sports centres in Uruguay. This includes centres also incorporate the necessary
Infraestructura Educativa II, a consortium 23 schools, 9 technology centres, and infrastructure to generate their own hot
comprised of Berkes, Saceem, and Stiler, 10 sports centres, with construction to water through solar energy.
to support the design and construction of be completed within 36 months. The
new educational and sporting facilities in project will provide educational facilities
Uruguay. The company previously received and research services for a total of 4,500 Advisers to Infraestructura
loans from the CAF, both directly and children across 16 of the country’s 19 Educativa II:
through its CAF AM II Debt Fund. departments.
• Guyer & Regules – legal
The total cost of the deal, including the The concession is part of the country’s
participation of other co-financing banks, wider strategic plan to develop its
was $97 million. Both loans were provided educational infrastructure, which will Advisers to IDB Invest:
in indexed units and the first disbursement eventually involve 4 PPPs. The programme • Allen & Overy – legal
was made on 26 March 2021. aims to promote full-time education in • Ferrere Abogados – legal
In 2018, Infraestructura Educative II won unfavourable socio-economic contexts, • TA Europe – technical
a 22-year concession – jointly awarded improve school conditions, and provide
IJGlobal awards
are now live 2020
In the absence of our famed IJGlobal awards
nights – normally hosted in London, New York,
Singapore and Dubai – we are bringing you all
the thrills and spills of the night… virtually.
www.ijglobal.com
Project Condor consists of the purchase This deal symbolises a vote of confidence
and deployment of 433 electric buses in the Latin American e-mobility market, a
and associated charging infrastructure for new and growing sector which is well-aligned
Santiago’s integrated transport system. The with a renewed focus on sustainability from
deal was sponsored by a special purpose governments and investors alike. Santiago
vehicle, Enel X AMPCI L1 SpA (a joint established Latin America’s first electric bus
venture between AMP Capital and Enel X). corridor in 2019, the opening salvo in the
The company will lease the buses city’s campaign to electrify its entire public
through 3 10-year contracts (for 100, 183 transport network by 2040 – which will
and 150 buses) to Metbus, one of the eventually involve the replacement of the rest
operators of Santiago’s public transport of Santiago’s existing diesel fleet, made up of
system. The new buses were manufactured around 6,500 buses.
by the Chinese manufacturer BYD.
The purchase of the buses was financed
through a $129,500,000 Senior Term
Loan and a $4,150,000 LC Facility, both This $150 million deal was a significant Advisers to AMP Capital and Enel X:
matching the tenor of the lease contracts. investment in a green loan financing in • Claro & Cía – legal (local)
Funding was supplied by 3 banks: SMBC, Chile and it was a first for many of the • White & Case – legal (international)
BNP Paribas, and Societe Generale. companies involved: the deal was AMP’s
Revenues under the lease contracts first transaction in Chile, and SMBC’s first Advisers to the lenders:
are fixed, dollar-denominated monthly green loan in Latin America. It paves the • Carey – legal (local)
payments, and are isolated from both way for future deals in other countries in the • Allen & Overy – legal (international)
operational and traffic risk. region, such as Colombia and Brazil.
2020
Asia Pacific
winners
Winners in the Asia Pacific transaction category are:
• Editor’s Choice Asia Pacific – Clifford • Asia Pacific geotherma – Gunung • Asia Pacific power transmission –
Capital’s corporate restructuring Salak-Darajat Geothermal Plant North Phnom Penh-Kampong Cham
and ADB’s investment Portfolio Refinancing Transmission Line
• Asia Pacific offshore wind – Akita Port • Asia Pacific social infrastructure primary
• Asia Pacific project finance & export and Noshiro Port Offshore Wind financing – South Australian Health
finance – Changfang, Xidao Offshore Farms and Medical Research Institute
Wind Farms Second Building
• Asia Pacific onshore wind primary
• Asia Pacific regional refinancing & financing – Murra Warra Wind Farm • Asia Pacific social infrastructure
oil & gas refinancing – Ichthys LNG Phase 2 refinancing – ACT Law Courts PPP
Refinancing Refinancing 2020
• Asia Pacific onshore wind refinancing –
• Asia Pacific DFI – Mazar-e-Sharif Gas- Sidrap Wind Farm • Asia Pacific data centre – Acquisition
Fired Power Plant IPP Phase 1
• Asia Pacific solar in a frontier market – of 88% in AirTrunk
• Asia Pacific LNG primary financing –
Navoi Region Solar PV Plant IPP • Asia Pacific telecoms – Acquisition of
Hong Kong LNG Offshore Terminal
• Asia Pacific midstream Oil & Gas – • Asia Pacific renewables portfolio Jio Platforms
Acquisition of Daesung Industrial financing – SB Energy Rajasthan • Asia Pacific transport primary financing
Gases Solar PV Portfolio IPP – Almaty Ring Road PPP
• Asia Pacific upstream oil & gas – • Asia Pacific solar refinancing – Leader
• Asia Pacific transport refinancing –
Acquisition of Chevron’s 45% in Energy Kuala Muda Solar PV
WestConnex Toll Road Refinancing
Malampaya Gas Field Portfolio Refinancing
• Asia Pacific coal-fired power – Java 9 • Asia Pacific wate – Binh Duong Water
• Asia Pacific energy storage – Wandoan
and Java 10 Coal-Fired Power Plants Treatment Expansion
BESS
• Asia Pacific floating solar – Changhua • Asia Pacific cogeneration power – • Asia Pacific mining – Okvau Gold
Lundong Floating Solar PV Plant Rayong Cogeneration Power Plant Mine
Asia Pacific project finance & Asia Pacific regional refinancing Asia Pacific DFI – Mazar-e-Sharif
export finance – Changfang, & oil & gas refinancing – Ichthys Gas-Fired Power Plant IPP
Xidao Offshore Wind Farms LNG Refinancing Phase 1
The 552MW Changfang and 48MW Xidao The Ichthys LNG Refinancing 2020 is the The 59MW Mazar-e-Sharif gas-fired power
offshore wind farms in the Taiwan Strait, Asia Pacific Regional Refinancing and Best plant IPP phase 1 is the Asia Pacific DFI
better known as the CFXD project, are the Oil & Gas Refinancing deals of the year. deal of the year.
Asia Pacific Regional Project Finance and This is the first year IJGlobal has Much of Afghanistan’s infrastructure has
Best Export Finance deals of the year. recognised APAC regional winners. Ichthys been destroyed due to nearly 3 decades of
This is the first year IJGlobal has recognised was chosen from among the top refinancing conflict. The country has significant need for
2 APAC regional winners. The other is a large transactions that closed in 2020 around the power and private sector investment. Two-
refinancing. CFXD was chosen from among region. thirds of Afghanistan’s 37 million people
the top project finance transactions that In June 2020, lead sponsors Inpex do not have access to grid-connected
closed in 2020 around the region. Corporation and Total refinanced the issuer’s electricity. Of the remaining third, more
Sponsors, led by Copenhagen existing uncovered commercial loan and than 75% of the power is imported. Even
Infrastructure Partners (87.5%) with Taiwan KEXIM direct loan with a new uncovered those connected to the grid have frequent
Life and TransGlobe Life, reached financial commercial facility at lower margin. The blackouts, at times lasting some 15 hours
close in February 2020 through a near $11.9 billion transaction also involved the a day.
NT$120 billion ($3.94 billion) financing re-pricing of its existing ECA covered loans Against this backdrop, the financing of
package. The participation of local Taiwan life from 6 ECAs, EFA direct loan and senior Mazar independent power producer (IPP)
insurers as equity investors and involvement sponsor debt at lower margins. – Afghanistan’s first long-term IPP – was
of a Japanese export credit agency were “The innovative and first of its kind a consequential achievement. The $90
innovative features of the transaction. refinancing and re-pricing plan revolved around million Mazar-e-Sharif power plant will
“This transaction is a significant milestone a strategy to most efficiently reduce the generate 400GWh of electricity annually for
as it is the first of its kind to enable local project’s cost of debt, combined with a revised the residents of Mazar-e-Sharif, Kabul and
life insurance companies to make a direct repayment profile that was both robust and Jalalabad, boosting the country’s electricity
investment in a Taiwanese offshore wind value accretive to the project and sponsors generation by up to 30%.
farm,” CIP partner Michael Hannibal said at which ultimately needed to be successfully At closing, Afghan banking, construction,
the equity closing. executed at a time of unparalleled market energy and transport conglomerate
MUFG Bank had the joint mandate on volatility,” said a deal insider. Ghazanfar Group and Egyptian construction
CFXD’s roughly NT$90 billion, three-currency Liquidity from a global blend of commercial company Hassan Allam Holdings owned
debt package, comprising 23 lenders banks was surprisingly strong, given the Afghan Power Plant Company, the project’s
including Taiwan Life and TransGlobe Life. timing amid the Covid-19 pandemic and special purpose vehicle.
CFXD’s uncovered, commercial tranche a crisis where Brent was below breakeven, The transaction was also Afghanistan’s
pricing was 240bp above 3-month Taibor, with uncovered debt’s pricing significantly first private sector gas-fired power plant
stepping down to “just slightly above” reduced. Financial advisers Citi and Mizuho to be funded by development finance
200bp at commercial operations date, delivered the massive refinancing spot on institutions (DFIs). “The project will have a
according to a market commentator. the sponsors’ deadline. significant demonstration effect for private
Lenders on CFXD had a sweet-and-sour mix This transaction highlights the resilience sector participation in Afghanistan’s energy
of 55/45. The following 7 Asian and European of the sector and the bankability of sector,” said a deal insider.
institutions provided about NT$49.5 billion in Australian LNG assets. With a total of 28 IFC was MLA on the nearly $65 million
coverage (in order of exposure): Atradius, EKF, lenders and 7 Asia Pacific and European debt package. The World Bank Group
NEXI, K-Sure, GIEK, KfW and UKEF. ECAs on the transaction it is also a member provided an A loan and mobilised
“The real story of the transaction is testament to the bank’s capabilities in funding from Asian Development Bank, Japan
this is NEXI’s first time participating [in large and complex infrastructure financing International Cooperation Agency’s Leading
the Taiwan offshore wind],” said another transactions and ongoing support even in Asia’s Private Infrastructure Fund and DEG.
market commentator. “They came in at a challenging market conditions. IDA also provided a guarantee to support
very meaningful level, given the Japanese CPC, Osaka Gas, Toho Gas, Tokyo Gas, short-term liquidity for ongoing payment
content from the turbine supply agreement.” JERA, and Kansai Electric are also Ichthys obligations to power utility DABS, which is
The Japanese ECA covered NT$10.2 billion LNG’s shareholders. the offer. MIGA also provided investment
(¥37 billion) financing by 10 lenders. guarantees.
Participants: Allen & Overy, Allens, ANZ, IDA Private Sector Window’s (PSW) Risk
Participants: ABN Amro, Baker McKenzie, Atradius, Bank of Communication, Bank Mitigation Facility and MIGA Guarantee
Bech-Bruun, Crédit Agricole, CTBC, DBS, Serve, Bayern LB, Bayfront Capital Partners, Facility covered IFC’s financing and MIGA’s
Deutsche, E Sun, En Tie Commercial, FIH BNP Paribas, Bpifrance, Caixa, CBA, Chiba, political risk guarantees. Mazar was World
Partners, HSBC, JP Morgan, KfW IPEX-Bank, Citigroup, Crédit Agricole, DZ, Euler Bank’s first time to deploy PSW’s Risk
KGI, Korea Development Bank, Kromann Hermes, Export Finance & Insurance Corp Mitigation Facility.
Reumert, Lautec, Lee & Li, Linklaters, Australia, Export Finance Australia, Gas World Bank is also helping to build a
Marsh, Mizuho, Mott MacDonald, MUFG, Strategies, Herbert Smith Freehills, HSBC, natural-gas pipeline from Sheberghan to
Natixis, OCBC, PEAK Wind, Ramboll, ICBC, ING, KEXIM, KfW IPEX-Bank, K-Sure, Mazar-e-Sharif to supply gas to the plant.
Santander, Sinotech Engineering, SMBC, Latham & Watkins, Lummus Consultants
Société Générale, Standard Chartered, International, Mizuho, MUFG, NAB, Participants: Aon, EY, Fichtner, Hagler
Taipei, Fubon, Tsar & Tsai, Watson Farley & NautaDutilh, NEXI, Resona, Santander, Bailley, Hogan Lovells, Kakar, Marsh, OWL
Williams, White & Case, Wood Group SMBC, SMTB, Société Générale, Westpac Group, RIAA Barker Gillette, White & Case
Asia Pacific LNG primary Asia Pacific midstream oil & Asia Pacific upstream oil & gas
financing – Hong Kong LNG gas – Acquisition of Daesung Acquisition of Chevron’s 45% in
Offshore Terminal Industrial Gases Malampaya Gas Field
The Hong Kong LNG offshore terminal is The acquisition of Daesung Industrial Gases Filipino conglomerate Udenna’s acquisition
the Asia Pacific Best LNG Primary Financing is the Asia Pacific Best Midstream Oil & Gas of US-based Chevron’s 45% stake in
deal of the year. deal of the year. Malampaya gas field is the Asia Pacific Best
The financing of Hong Kong’s first Divine Industrial Gas through Divine Korea Upstream Oil & Gas deal of the year.
offshore LNG import terminal project was a Holdings – a Macquarie Asia Infrastructure The transaction is significant for the
critical step to support the government of Fund 2-led consortium with a Singaporean Philippines’ oil and gas industry, as Filipino
Hong Kong’s carbon reduction targets in the sovereign wealth fund and Canadian companies eye replacing large global
HK Climate Action Plan 2030+. pension fund – acquired 100% equity incumbents. Malampaya is the country’s
The project involves an offshore LNG interest in Daesung Industrial Gases from largest and only commercially producing
receiving terminal, jetty topsides facilities, Korean private equity firm MBK Partners for gas field, where it supplies up to 20% of the
2 new subsea pipelines connecting the W2.8 trillion ($2.48 billion). country’s total power generation.
FSRU with 2 power stations, and gas At closing, Daesung was South Korea’s Shell Philippines Exploration, which
receiving facilities to transport gas to power largest industrial gas supplier and only holds the Service Contract 38, develops
generating facilities in Hong Kong. nationwide supplier of industrial gases, with and operates the gas field under the JV
At closing, Castle Peak Power (Capco) annual production capacity of more than 16 comprising Netherlands-headquartered
and HK Electric were the 50/50 owners million tons. Royal Dutch Shell (45%), Chevron (45%),
of project company Hong Kong LNG For more than a year, MIRA reviewed and state-owned Philippines National Oil
Terminal. Indirect owners were CLP Holdings opportunities in the gas industry and Exploration (10%).
subsidiary CLP Power Hong Kong and gathered sector knowledge in the industrial In 2019, Udenna revealed that it was in
China Southern Power Grid subsidiary China gas market. Four companies that together talks with Chevron to acquire the significant
Southern Power Grid International (HK) hold more than 90% of the market dominate minority interest. Both sides later sealed the
through Capco. Korea’s industrial gas business. High entry deal for around $565 million, paid through a
HSBC had the joint mandate on the barriers feature prominently in the industry. $400 million debt facility with ANZ and ING.
HK$6 billion ($773 million) financing MIRA exclusively sourced the opportunity Despite facing concerns that the gas
solution, joined by ANZ, BNP Paribas, China from MBK Partners due to the real assets field would plummet to a third by 2024 and
Development Bank, Credit Agricole and investment manager’s prior investments in deplete by 2027 to 2029, the consortium
Standard Chartered as MLAs. Korea. The Macquarie subsidiary drew from was confident that the gas field could
A commendable aspect of the package a team of industry and functional specialists sustain beyond 2024. The acquisition
was the 15-year HK$1.96 billion credit in Korea, China and Singapore to complete allowed Udenna to become a prominent
buyer term loan facility, covered at 95% by due diligence and documentation process oil and gas player in the market, which
Sinosure in favour of Capco. It supported within a short period of time. aligns with the company’s long-term vision
the EPC contract from Offshore Oil “MIRA considered Daesung in particular to develop a sustainable clean energy
Engineering China, the supplier of a gas as a prime investment opportunity given business in Philippines.
subsea transportation pipeline to, and a its market leader position … with 40 years Besides, the transaction also signalled
gas receiving station at, Capco’s Black Point of operation that enabled it to establish Chevron’s exit on its first and largest natural
power station in Hong Kong. longstanding relationships with Korea’s gas development project in Philippines.
This was Sinosure’s first long-term buyer leading blue-chip customers and record a Malampaya has an estimated total
credit transaction for a Hong Kong-based near-complete renewal rate since 1990s,” a investment cost of about $4.5 billion and
borrower. The Chinese ECA also deviated deal insider said. has contributed as much as $12 billion in
from its policy requiring a corporate The industrial gas supplier’s cash revenue.
guarantee due to the borrower’s strong flows bolstered by long-term volume Since Malampaya began operation in
financials and the project’s strategic role. guarantee contracts and cost pass through 2002, its production reached up to 429
Other features of the transaction included mechanisms, further attracted MIRA. million cubic feet of gas per day and 15,000
$350 million senior 10-year Energy MIRA also recruited GIC and Alberta barrels of condensate per day over the two
Transaction bond and HK$3.3 billion Energy Investment Management to join the decades.
Transition 1- and 3-year revolving facilities. multinational consortium. “At Udenna, we believe in the benefit of
“The deal was the first ECA-covered MIRA conducted a comprehensive post- promoting natural gas as an essential fuel to
deal with Capco and Asia’s first export merger integration process to transition support the country’s growing energy needs
finance Energy Transition loan,” said a deal smoothly and maintain momentum and economic growth,” said the Filipino
insider. “The energy transition facilities were during the Covid-19 pandemic since the conglomerate.
aligned with CLP’s Climate Action Finance transaction closed in February 2020. The
Framework.” on-the-ground asset management team in
Korea was extremely valuable.
Asia Pacific energy storage Asia Pacific floating solar Asia Pacific geothermal – Gunung
Wandoan BESS Changhua Lundong Floating Salak-Darajat Geothermal Plant
Solar PV Plant Portfolio Refinancing
The primary financing of the 100MW /
150MWh Wandoan battery energy storage The 180MW Changhua Lundong floating The 2020 refinancing of the 550MW
system is the Asia Pacific Best Energy solar PV plant is the Asia Pacific Best Gunung Salak-Darajat geothermal plant
Storage deal of the year. Floating Solar deal of the year. portfolio is the Asia Pacific Best Geothermal
Vena Energy’s BESS in the Darling Downs Floating solar is an increasingly attractive deal of the year.
region of Queensland was Australia’s first option for large-scale PV deployment The portfolio refinancing – $1.1 billion
utility scale battery project to be privately at reservoirs and alongside hydropower senior green bonds issued by Indonesia-
financed without the need for state or facilities, especially where land use is based Barito Pacific subsidiary Star Energy
federal government assistance. constrained. Geothermal – was 3.5x oversubscribed. It
“This landmark transaction also marks “With the financing group comprising was Indonesia’s first US dollar project bond
Australia’s first ever non-recourse project 3 international banks and 4 local banks, and one of its largest non-sovereign deals.
financing of a utility scale battery energy the financing structure of this pioneering It was also Indonesia’s longest dated green
storage project,” said a deal insider. project opens more possibilities to bolster bond at 18 years.
BNP Paribas, DBS and ING were MLAs on the burgeoning large-scale floating solar “It was Asia’s first dollar-denominated
the debt financing of the A$120 million ($82 projects in Asia Pacific during the coming project bond of the year in 2020,” said a
million) project, which is also instrumental in years,” said a deal insider. deal participant.
Queensland’s transition towards renewable At closing, Marubeni acquired the project SEG Darajat II and SEG Salak co-issued
energy and a low carbon economy. in Changbin Lunwei East’s Changhua the green bonds to refinance the $1.25
“The financing was also among the first Coastal Industrial Park from Chenya Energy, billion loan acquisition of 350MW Gunung
of Vena Energy’s renewable energy portfolio held by I Squared Capital’s renewable Salak and 200MW Darajat, following the
in the Australian market, and the first battery energy platform Asia Cube Energy. acquisition in 2017 of the geothermal
project internationally, to meet the criteria for The transaction, which has a 20-year assets Star Energy, Philippines-based Ayala,
Vena Energy’s Green Financing Framework,” power purchase agreement and feed-in- and Thailand-based EGCO, from energy
said a project adviser. tariff with Taipower, was one of the largest giant Chevron.
Pierre Floriat from BNP Paribas noted: “As floating solar projects in the world. It was The issuance was the first investment-
green loan coordinator for the financing, BNP also the first project financing in Taiwan’s grade green project bond from the private
Paribas strongly believe the Wandoan South floating solar industry. sector in Indonesia.
BESS provides a template for more battery Singapore-headquartered DBS had the The co-issuer, multi-jurisdictional, dual-
projects to be commercially financed and joint mandate on the NT$9 billion ($322 tranche structure was among the first
will enable further renewable penetration into million) financing. Debt comprised a single of its kind in the region. The transaction
Australia’s National Energy Market.” senior facility of about NT$7.2 billion. The included 2 tranches – $320 million with a
At closing, the 150MWh Wandoan BESS MLAs were DBS, KGI, SinoPac, SMBC and 3.25% coupon rate due 2029 and $790
was the largest battery in Queensland Société Générale, while lead arrangers million with a 4.85% coupon rate due 2038.
and second largest in Australia capable of were E Sun and First Commercial. Banks The transaction set a precedent for other
powering up to 57,000 households. It will structured a 6-year mini-perm with a issuers in the region to arrange the complex
provide ancillary services and help maintain notional maturity of 18 years. structure.
grid stability as growing shares of variable Changhua Lundong was the first Star Energy is one of the Indonesia’s
renewable energy join the local grid. “standard international style” non-recourse largest geothermal producers that operates
The battery was the first part of Vena loan for a large-scale floating solar power and owns 875MW of assets. It issued the
Energy’s Wandoan South Project in plant in Taiwan. It will also be the world’s bonds in structure with upstream, cross-
Queensland and represented the first large- largest built in an inter-tidal zone. stream and downstream guarantees and
scale battery project globally by the Singapore- This landmark transaction supported had a security package with assets in
headquartered renewable developer. the Taiwanese government’s directive in several jurisdictions. The deal signified
Australian utility AGL Energy procured achieving 20% renewables in the country’s the private sector’s increased interests in
the dispatch rights for the battery under a energy mix by 2025. renewable projects and enhanced focus in
15-year contract. The procurement allows “Through Changhua Solar, Marubeni the ESG sector.
AGL to leverage excess solar generation in plans to expand the floating solar power “This successful green bond offering
Queensland and provide capacity when other business in Taiwan as well as in other indicates that investors in the region and
renewable power sources are not generating. regions,” said a project participant. across the world are eager to invest in
The BESS is near the town of Wandoan “This project’s success would certainly geothermal and renewable energy projects
about 400km north-west of Brisbane. The help spur more of such projects in land- amid challenging economic circumstances,”
battery will connect to Powerlink’s Wandoan constrained Taiwan and other jurisdictions said a deal adviser.
South substation, just south of the project in Asia facing the dilemma of accelerating
site. Vena Energy is a Global Infrastructure renewable energy adoption and competing
Partners portfolio company. land uses,” added another participant.
Participants: Bank of the Philippine
Participants: Ashurst, ClayMatter, DLA Participants: Aon, KPMG, Lee & Li, Mott Islands, Barclays, Clifford Chance, Credit
Piper, Doosan GridTech, Herbert Smith MacDonald, Russin & Vecchi, Sinotech Suisse, DBS, Deutsche, King & Spalding,
Freehills, RINA Consulting Engineering Mayer Brown, Milbank, Walkers
Asia Pacific onshore wind primary Asia Pacific onshore wind Asia Pacific solar in a frontier
financing – Murra Warra Wind refinancing – Sidrap Wind Farm market – Navoi Region Solar PV
Farm Phase 2 Plant IPP
The 2020 refinancing of the 75MW Sidrap
The 209MW phase 2 of the Murra Warra wind farm is the Asia Pacific Best Onshore The financing of the 100MW Nur Navoi solar
wind farm is the Asia Pacific Best Onshore Wind Refinancing deal of the year. power project is the Asia Pacific Best Solar
Wind Primary Financing deal of the year. The transaction was a refinancing of a in a Frontier Market deal of the year.
Near closing, Partners Group acquired greenfield loan for Indonesia’s first wind “The first IPP - and PPP - in Uzbekistan
100% equity interest in Murra Warra 2 in power project. The project itself was the with a massively ambitious modernisation
western Victoria from Macquarie’s Green country’s first utility-scale wind power programme across the power and
Investment Group and RES for A$180 project, signifying the transition towards infrastructure space,” said a deal insider.
million ($128.5 million). In 2018, the Swiss renewable energy. The $150 million wind At closing, the Masdar owned project
fund manager also bought 100% equity farm, which went online in 2018, was a company Nur Navoi Solar Foreign
of the adjacent operational 226MW Murra pioneering model for future wind power Enterprise. The Abu Dhabi-based sponsor
Warra 1 for A$200 million. The Murra Warra projects in the country. reached commercial close with the lowest
complex is one of the largest wind farms in A consortium, comprising APAC-focused tariff for solar energy in Central Asia to
the Southern Hemisphere. UPC Renewables, Indonesia-based Binatek date. Nur Navoi was also Uzbekistan’s
Murra Warra 2’s primary financing closed Energi Terbarukan, and Philippines-based first competitively tendered project in the
last July amid the coronavirus pandemic AC Energy, is the onshore wind farm’s renewable energy sector.
showcasing the resilience of the Australian owner and operator. The transaction was the first solar project
renewables market. The pandemic The consortium had a 30-year power under the IFC Scaling Solar programme
presented a series of challenges, across purchase agreement with state-owned utility outside Africa. “It was the fastest ever bid
supply chain, access to site and rising company Perusahaan Listrik Negara (PLN). to close cycle even during the Covid-19
capital costs. The former owners were able The US dollar linked PPA had a levelised pandemic, closing in 12-13 months,
to navigate the project through these issues tariff of $0.1141/kWh, providing a hedge to compared with 1.5-2 years in other Scaling
and close the parallel equity and debt the sponsors against potential volatility in Solar deals,” a source noted.
transactions. Indonesia rupiah. Cranmore Partners was financial adviser
Six commercial banks lent on the project The $114 million refinancing to the on the financing package. IFC, Canada-IFC
finance debt. The debt package involved a existing loan, extended by US International Blended Climate Finance Program, ADB and
green loan making it the first time such a Development Finance Corporation’s Canadian Climate Fund for the Private Sector
facility was used to fund the construction predecessor, represented a landmark in Asia II provided long-term senior debt.
of a wind farm in Australia. The green loan, transaction and milestone of Indonesia’s EBRD extended an equity bridge loan.
raised in accordance with the Asia Pacific transition to renewables. The loan facility Masdar’s use of an equity bridge loan was
Loan Market Association’s Green Loan attracted a diverse lender club consisting of not surprising. Investment-grade sponsors in
Principles, was subject to an independent German DFI DEG, SMBC’s BTPN, Indonesia the Middle East tend to lever up their equity
second party opinion from Sustainalytics. Infrastructure Finance, and Sarana Multi contributions, noted a banker.
The financing’s timing was not ideal. Grid Infrastructure. The IBRD guarantee was equivalent to
connectivity issues forced a few investors The MLAs were able to close the the PPA payments by National Electric Grid
to divest local assets. The former sponsors refinancing in 3 months, when the of Uzbekistan, the off-taker, under the 25-
mitigated market uncertainty by conducting transaction closed on the same day as year PPA during the 6-month peak (April to
grid due diligence and sweetening signing. That is a relatively short timeframe October). The 20-year payment guarantee
the financing package with security in the market. The lenders performed their backstopped a letter of credit by Natixis in
mechanisms. These included a cost overrun strong track record and their readiness to case the government or the off-taker does
facility to provide liquidity in the event of support the country’s renewable goals. not reimbursed a draw on the L/C within 12
unforeseen grid related issues. “This project is particularly significant months.
“We continue to believe the Australian because it’s one of the ways that PLN is “The IBRD guarantee is quite new and
renewable energy sector is benefiting from going to develop its knowledge about wind innovative,” said a deal insider. “It’s a way
a transformative trend, with a significant power and the opportunities and challenges to get commercial banks into the L/C on a
amount of coal-fired generation retirements it brings. It will definitely help with the covered basis, providing liquidity support at
expected in the coming decade,” said political traction for renewables in Indonesia the project level.”
Andrew Kwok, Partners Group head private overall,” said a deal adviser. “It is easy to look towards large renewable
infrastructure for Asia. projects in the Asia region such as the
“Investing into Murra Warra 2 at the offshore wind transactions in Taiwan to
construction phase and successfully win,” argued a project participant. “But it is
delivering the project through to its much more challenging and important to
operational phase is consistent with both successfully develop projects like Nur Navoi
our ‘platform expansion’ and ‘building core’ Participants: in a BB- and emerging economy country
strategies in infrastructure.” • Assegaf Hamzah and Partners such as Uzbekistan than it is an AA- and
liquidity rich jurisdiction such as Taiwan.”
• Baker McKenzie / Hadiputranto
Participants: Ashurst, Clifford Chance, Hadinoto & Partners
ICBC, ING, King & Wood Mallesons, Participants: Aecom, Ashurst, Clifford
• Shearman & Sterling Chance, DNV GL, Lockton, Norton Rose
KPMG, Macquarie Capital, Mizuho, MUFG,
SMBC, Snowy Hydro, Société Générale • SMBC / BTPN Fulbright, SEPCO III, TYPSA, Worley
Asia Pacific renewables portfolio Asia Pacific solar refinancing Asia Pacific coal-fired power
financing – SB Energy Rajasthan Leader Energy Kuala Muda Java 9 and Java 10 Coal-Fired
Solar PV Portfolio IPP Solar PV Portfolio Refinancing Power Plants
The portfolio financing of the 600MW SB Leader Energy’s 49MW Kuala Muda solar The 2GW Java 9 and Java 10 coal-fired
Energy Rajasthan Solar PV project is the PV portfolio in Malaysia is the Asia Pacific power plant complex is the Asia Pacific Best
Asia Pacific Best Renewables Portfolio Best Solar Refinancing deal of the year. Coal-fired Power deal of the year.
Financing deal of the year. The issuer is the renewable energy unit of A Perusahaan Listrik Negara (PLN)
At closing, Softbank (80%) and Bharti Penang-based HNG Capital. The transaction subsidiary, Barito Pacific, and Korean
Enterprises (20%) owned the 2x 300MW is Leader Energy’s debut sukuk – a Shariah- developer Kepco were the sponsors of one
greenfield solar PV project in Rajasthan, compliant bond issuance – that refinanced of Indonesia’s largest project financings
India. The portfolio developed under 2 operational solar power projects in Kuala in 2020. The deal package comprised 2
National Thermal Power Corporation’s Solar Muda, Kedah. tranches – ECA-covered and commercial –
Park Scheme. It benefited from a 25-year The deal further promoted and enhanced amounting to about $2.5 billion.
PPA with NTPC at fixed tariff. Malaysia’s value proposition as a centre for The sponsors raised $1.1 billion from
“With seven international banks in Islamic finance and sustainable investments. commercial banks, one of the country’s
the financing group, the successfully HSBC’s Malaysia affiliate HSBC Amanah was largest commercial tranches for greenfield
implemented financing structure opens the lead arranger on what it described as the IPP financing. A subsidiary of Indonesian
future possibilities to support upcoming first Asean green sustainable and responsible state-owned utility PLN held a majority in
projects for the sponsor across different investment sukuk in 2020. The deal was also the project company. The deal required a
regions,” said a deal insider. the Malaysia ringgit bond market’s first project bespoke corporate governance solution to
BNP Paribas, MUFG, SMBC, Société financing sukuk in 2020. The transaction also satisfy lender concerns because PLN was
Générale, SinoPac, Standard Chartered and signalled the market’s appetite for renewable also the offtaker. It’s a possible model for
Taipei Fubon Commercial punched tickets energy, bolstered by the sponsor’s ability to future Indonesian IPPs.
on the nearly $330 million debt package. issue an attractive and competitive bond. “This was the first deal closed with a PLN
The complex financing structure Leader Energy raised M$260 million ($62 subsidiary as majority shareholder,” said
comprised US dollar and Japan yen million) through the bonds, structured with DBS global head of project finance and
external commercial borrowing facilities. The multiple tranches spanning 1 to 18-year project financial adviser Subash Narayanan.
transaction also had a letter of credit facility. maturities. At issuance, the sukuk had the lowest “Indonesia adapted the shareholder/offtaker
Drawdowns by SB Energy Six Private, the ever coupon and weighted average financing model from the Middle East… Here, the
borrower, under the L/C facility will be taken cost for AA3/AA- rated solar power project PLN subsidiary was a BBB first time risk. The
out by the ECB loan. financing issuances in the ringgit market. commercial banks and the long-term debt
The borrower raised a 5-year, mini- The issuance also received a gold providers, the Korean ECAs, had to work
perm project finance. Four-fifths were sustainability bond rating, the highest grade of towards quite a different funding plan.”
denominated in USD while the remaining MARC’s Impact Bond Assessment methodology. The project financing was under financial
20% was in yen. Cross currency swaps and The rating showed that the sukuk’s standards close when banks had begun slowly stepping
FX forwards for the tenor of the loan hedged aligned with international practice, opening away from coal financing. Sponsors had to
the USD tranche. further opportunities. The deal attracted 12 manage a much-reduced pool of potential
SB Energy Six also raised a L/C facility to investors from insurance companies, asset participants. Nevertheless, the project
pay for the modules and other equipment, a managers, and financial institutions. achieved financial close with 11 financiers.
performance bank guarantee required under Kuala Muda 1 (29MW) and 2 (20MW) are The deal also showcased cooperation
the PPA, and a working capital facility. the projects awarded by Malaysia’s Energy between South Korea and Indonesia as
“The transaction utilised an innovative Commission under the Large-Scale Solar South Korean sponsor Kepco participated
hedging structure, comprising a 1 and 2 procurement programmes. Both in the project, bringing in development
combination of cross currency swaps and projects have a 21-year power purchase institutions, commercial banks, ECA
FX forwards, thereby reducing the number agreement with state-owned electricity utility guarantor, EPC contractors, and advisers.
of hedges that are required to be executed company Tenaga Nasional. “The project is a priority project for the
by the borrower,” said a market participant. HNG Capital has more than 20 years government and is part of the country’s
of experience in Asean’s power market, 35GW programme. Once completed, the
including Cambodia, Malaysia, and Vietnam. power station will become the biggest
The solar farms, which began operations in power complex connected to the Jawa Bali
October 2018 and February 2020, showed grid,” said a deal adviser.
the company’s commitment to push forward
Participants: the country’s renewable sector. Participants: ABNR, Afry, Aon, Assegaf
• Allen & Overy “This deal shows tremendous appetite Hamzah & Partners, Bangkok Bank, Bank
• Cyril Amarchand Mangaldas for sustainable and green-focused offerings Mandiri, Bank Negara Indonesia, Bank of
in the market … and our commitment China, Bank Rakyat Indonesia, Black &
• KPMG
and ability to develop the landscape of Veatch, CIMB, Connusa Energindo, DBS,
• Luthra & Luthra sustainable banking products available in DLA Piper, Hana Financial Group, Hogan
• Mahindra Susten Malaysia,” said a deal adviser. Lovells, Indonesia Eximbank, KEXIM,
• Marsh Kim & Chang, Korea Development Bank,
KPMG, K-Sure, Lee & Lee, Malayan Bank,
• Sterling & Wilson Participants: Adnan Sundra & Low Milbank, Norton Rose Fulbright, Tokyo
• Tractebel HSBC, Malaysian Rating Corporation Electric Power Services, UMBRA
Asia Pacific cogeneration power Asia Pacific social infrastructure Asia Pacific social infrastructure
Rayong Cogeneration Power primary financing – South refinancing – ACT Law Courts
Plant Australian Health and Medical PPP Refinancing 2020
Research Institute Second
The 92MW Rayong Cogeneration power The 2020 refinancing of the ACT Law
plant in Thailand’s strategically important Building Courts PPP is the Asia Pacific Best Social
Eastern Economic Corridor is the Asia Infrastructure Refinancing deal of the year.
Pacific Best Cogeneration Power of the year. The financing of the South Australian Health The ACT Law Courts project was ACT’s
A local affiliate of Singapore-based Nexif and Medical Research Institute Second first PPP. The PPP is under a 25-year design,
Energy and Thai developer Ratch were Building is the Asia Pacific Best Social build, finance and maintain concession. The
sponsors at financial close. Nexif Energy is Infrastructure Primary Financing deal of the project revamped Canberra’s existing court
a partnership between Singapore-based year. facilities by developing a 4-storey building
independent power management company SAHMRI’s second building is now known with 110KW solar PV array near Vernon
Nexif and Denham Capital, an energy and as the Australian Bragg Centre for Proton Circle.
resources-focused private equity firm. Therapy and Research. Australian Bragg
The primary financing indicated the Centre is part of Adelaide’s BioMed City –
maturity and volatility of Thailand’s power the Southern Hemisphere’s largest health
market, with the international independent and biomedical precinct.
power producer initiating the project and “The asset is unique in Australia,
the participation of local power developer. incorporating the country’s first proton
Thailand authorities welcomed the project therapy unit specialising in next generation
without much interference, allowing the cancer treatment,” said a deal insider.
project to negotiate a more competitive loan At closing, Commercial & General, and
facility and power purchase agreements. the governments of South Australia and The complex connects the Magistrates
The deal showcased the sponsor’s Australia were financial backers of the and Supreme Court buildings. The new
commitment to the development of an IPP development of the more than A$500 ACT Law Courts building, which has been
project in Thailand. Project initiator Nexif million, 15-storey medical development. The operating since 2020, accommodates
Energy is an IPP backed by US-based governments provided a combined A$112 the Court of Appeal, Supreme Court,
financial investors. At the initial stage, Nexif million. Magistrates Court, Coroners Court and
Energy was solely developing the project. Australian Bragg Centre represented Children’s Court.
Ratch, one of Thailand’s largest IPPs, later a “landmark collaboration between the “The new precinct will meet the
joined, leveraging expertise and experience private sector and the State and Federal territory’s needs for the next 50 years in a
between the international and local markets. governments,” said a project participant. more functional, flexible and sustainable
Besides, a good mix of international and Parties negotiated the project financing way,” said a deal insider. “Being the first
local lenders on the deal represented the against a backdrop of financial and refinancing post-completion, this successful
appetite for Thailand’s power market. The construction uncertainty arising from the transaction set up the project for the long-
club comprised Kasikornbank, SMBC and Covid-19 pandemic. term operational phase.”
Standard Chartered. The transaction further Parties target a LEED Gold Rating under Macquarie Capital was financial adviser
showed that the capital mobility in the market the US Green Building Council’s LEED on the A$159 million debt package. It
is sufficiently strong to push forward a deal building certification system recognising comprised a A$156 million term loan and
without the involvement of DFIs and ECAs. best-in-class green building strategies and a A$3 million debt service reserve facility.
The sponsors also negotiated a favourable practices. Both had a 5-year tenor. The deal closed in
PPA for the project, illustrating the developers’ After financial close on construction December 2020.
ability to execute the project. The project has funding in June 2020, Dexus funds acquired Sponsors built a new public entrance
2 PPAs – a 25-year PPA with state-owned ownership of the project for A$446.2 million. and registration area in the open space to
Electricity Generating Authority of Thailand It was one of Australia’s largest ever single- connect the Supreme Court and Magistrates
for 90MW and a gas supply agreement with asset private healthcare acquisitions. The Court. The configuration provided access to
state-owned PTT. The PPA tenor runs longer centre will treat about 600-700 patients per common facilities for members of the public
than the debt tenor, providing a significant year once patients arrive in Q2 2025. and the legal community.
PPA tail for the project. “By combining research, education, “The Supreme Court building was fully
“The joint investment in the Rayong clinical care, business development and refurbished to accommodate Supreme
co-generation project with Nexif Energy innovation, The Australian Bragg Centre Court and other judicial functions and is
represents a strategic move for Ratch will facilitate an unparalleled opportunity to now fully integrated into the completed
in establishing a generation base in the network, collaborate and advance research,” facility in a way that respects and retains
eastern region which will help secure said SAHMRI. its unique heritage value,” said a project
national power supply to the industrial participant.
sector,” said a project sponsor.
Participants:
Participants: Baker McKenzie, Participants: • King & Wood Mallesons
Kasikornbank, Mott MacDonald, • King & Wood Mallesons • Maddocks
Norton Rose Fulbright, SMBC, • Minter Ellison • NAB
Standard Chartered • Norton Rose Fulbright • SMBC
The 66km Almaty Ring Road PPP is the Asia “A bespoke hedging structure involving Himmatilla Boriev, IsDB’s Almaty Ring
Pacific Best Transport Primary Financing interest rate swaps forwards and interest Road portfolio manager added: “The
deal of the year. rate caps to accommodate project needs project is the first of its kind in the CIS and
Almaty Ring Road is a massive project was the most innovative feature of the will serve as an excellent benchmark for
for the 18-plus million people in the world’s financing structure,” an EBRD spokesperson international investors to exploit PPP models
largest landlocked country. The road in told IJGlobal. for infrastructure projects in the region in the
Kazakhstan is part of the transcontinental EBRD led with a $225 million A loan and near future.”
highway linking Western Europe to Western B loans totalling $125 million from Bank of
China. China and PGGM. Eurasian Development
EBRD president Suma Chakrabarti Bank provided $135 million and Islamic Participants:
described the PPP project as “the region’s Development Bank (IsDB) punched a ticket • Aequitas
first proper PPP and, not surprisingly, the for $100 million. • Allen & Overy
project finance world has been following its Lenders designed a “bespoke • Aon
progress very closely”. installment sale structure developed to • Arup
At closing, the equity holders of BAKAD meet Islamic Development Bank’s specific • Colibri Law
Investment and Operation LLP, the project’s shariah requirements within local law and • Gide Loyrette Nouel
SPV, were Alsim Alarko, Makyol, SK transaction constraints”, according to a deal • Intesa Sanpaolo
Engineering and Construction and Korea insider. • Kazdor Innovatsiaya
Expressway. “The negotiations to conclude the • Kim & Chang
The $742.6 million road PPP project had financing for this high-profile project took • PwC
79% gearing. DFIs dominated the $585 enormous efforts from the joint teams of the • Seco International
million limited recourse project financing – senior lenders, and their legal and technical • White & Case
with a full pass-through of EPC and O&M advisers,” noted head of IsDB’s PPP division • Wiilis Towers Watson
risks to the relevant contractors. Noman Siddiqui.
Asia Pacific data centre Asia Pacific telecoms Asia Pacific water – Binh Duong
Acquisition of 88% in AirTrunk Acquisition of Jio Platforms Water Treatment Expansion
The Macquarie Infrastructure and Real The acquisition of Jio Platforms is the Asia The Binh Duong water treatment expansion is
Assets-led acquisition of an 88% equity Pacific Best Telecoms deal of the year. the Asia Pacific Best Water deal of the year.
interest in AirTrunk is the Asia Pacific Best Thirteen financial and strategic investors Binh Duong Water Environment (BIWASE)
Data Centre deal of the year. acquired about 33% equity interest – established by the Vietnamese government
MIRA led the investor consortium, in Reliance Industries’ Indian mobile in 1975, privatised in 2016 and listed in
including Canadian pension fund PSP communications operator Jio Platforms for Ho Chi Minh a year later – is a water and
Investments, that acquired its controlling more than Rs1.52 trillion ($21 billion). waste management company providing
stake from Goldman Sachs, Sixth Street Investors were Facebook, Google, Silver services to Binh Duong province in southern
Partners and AirTrunk’s founder Robin Khuda. Lake, Vista Equity Partners, General Atlantic, Vietnam. The company, however, has faced
The strategic acquisition was one of Asia KKR, Mubadala, ADIA, TPG, L Catterton, multiple challenges due to insufficient
Pacific’s largest data centre transactions at Public Investment Fund of Saudi Arabia, creditworthiness and slow transformation.
more than A$3 billion ($1.84 billion). The deal Intel Capital and Qualcomm Ventures. The project entailed corporate loans to
signified the rapid growth of the data centre Google took a 7.73% equity stake on fully support BIWASE’s investment to expand
industry in the region and allowed AirTrunk to diluted basis for Rs337.37 billion. Tan Hiep water treatment plant’s production
accelerate its ambitious expansion. Deutsche Morgan Stanley was Reliance’s financial capacity by 100,000 m3 per day, construct
Bank was lead debt arranger. adviser on this series of consequential a new raw-water transmission pipeline and
APAC-focused AirTrunk is a hyper-scale transactions. serve the growing water demands from
data centre platform for large cloud, content, domestic customers and industrial zones.
and enterprise customers. At closing, “The company is the leading privatised
AirTrunk owned 5 data centres with a “Jio started with a vision of company in Vietnam’s water sector and
combined capacity of 450MW in Australia, connecting everything by operates with lowest level of non-revenue
Hong Kong and Singapore. water in the country,” said a deal insider.
The North Sydney company ran a private
building a robust and secure Asian Development Bank and Japan
sales process that received interest from wireless and digital network.” International Cooperation Agency loaned
several potential buyers. Infrastructure funds, BIWASE a combined $16 million. The
pension funds, and strategic investors bid transaction was ADB’s first viable private
on the acquisition. AirTrunk also negotiated The Jio Platforms management team sector financing in Vietnam’s water sector.
with Australia’s Foreign Investment Review had brought “extraordinary engineering The project represented the collaboration
Board to ensure restrictions on bidders were capabilities to bear on bringing the power between local and international
minimised to optimise competitive tension. of low-cost digital services to a mass organisations to support the province in
The MIRA-led consortium submitted an consumer and small business population,” satisfying its rapidly growing water needs.
inventive plan and investment structure for said Silver Lake co-chief executive and The financing package, including 2
the AirTrunk founder and CEO. MIRA had managing partner Egon Durban. parallel loans and technical assistance
negotiated with the founder that he would In 2016, Mukesh Ambani, chairman and on a grant basis, strengthened BIWASE’s
maintain a “material stake in the business” managing director of Reliance Industries, creditworthiness and institutional capacity
and would remain as chief executive under launched Jio Platforms subsidiary Reliance to provide water supply services. Besides,
a long-term arrangement, supported by the Jio Infocomm. Reliance crushed competition the one-stop solution loan facility supported
existing executive management team. from more established mobile telecoms BIWASE’s transition from reliance on sovereign
The deal featured a financing package players, including Bharti Airtel Telecom and financing to private sector financing.
promoted by AirTrunk as part of the sales Vodafone India, by offering free voice calls Binh Duong is one of the country’s fastest
process. The asset-level financing package throughout India. developing provinces and has attracted $5.7
also contained market-leading features, Jio also swallowed younger brother Anil’s billion of foreign direct investments since
allowing the company access to more Reliance Communications the following year 2016. The region has the fastest-growing
financing to continue their regional expansion. and pushed Vodafone into a merger with population in the country, putting pressure
“AirTrunk’s established APAC footprint and a another local player Idea Cellular Today. At on water treatment, supply and distribution.
clear path to expansion in other markets was closing, Jio Platforms’ customer base was Water demand annually grew 20% from
important to the success of the transaction,” 398.3 million. 2016-2019. BIWASE projected that the water
said a deal adviser. “This is due to the “Jio started with a vision of connecting demand will exceed its capacity by 2021.
region’s emerging economies and growing everything by building a robust and secure The expansion will allow BIWASE to increase
populations, leading to substantial growth in wireless and digital network and extending its water treatment capacity by 80%.
data, a shift to the cloud and greater need for the benefits of digital connectivity to “BIWASE supplies water to this fast-growing
in-country workloads and storage.” everyone in India,” Mukesh Ambani said. province and has a total water production
“Thirteen investors, which include the largest capacity of 311,300 m3/day, a total
technology companies and investors globally, distribution pipe length of 4,276 kilometres,
now share a common vision with us.” and more than 269,000 connections with
Participants: Baker McKenzie,
service coverage of 78% of the province’s
Deutsche Bank, DLA Piper, Gilbert &
population,” said a project participant.
Tobin, Goldman Sachs, Grant Samuel,
Participants
Hogan Lovells, King & Wood Mallesons,
• AZB & Partners Participants
KPMG, Macquarie Capital, Norton Rose
• Davis Polk & Wardwell • IBIS Consulting
Fulbright, PwC
• Latham & Watkins • Mayer Brown
Cambodia’s Okvau Gold Mine, developed Emerald, in addition, had placed The deal involved extensive negotiations
by Australia-listed Emerald Resources, won $3.5 million of its shares to Sprott. The between the lenders, sponsors, and
the Asia Pacific Best mining deal of the year. subscription allowed Emerald to expand Cambodian mining authorities. The advisers
The transaction was Cambodia’s first-ever its footprint in Cambodia. The ASX-listed were able to accommodate the needs
project financing of a mining project. The company is using the proceeds from this, of all sides to obtain the mining license
project is significant as it opens further and a $75 million share placement on and financings, setting a precedent for an
opportunities in the region alongside Okvau and regional exploration programme emerging market.
establishing Emerald as a key player in on Emerald’s 1,426km² exploration footprint “Our team was required to engage heavily
the market. The financing agreement in Cambodia. with Cambodian counsel in regard to the
showcased the investors’ commitment and The subscription allowed Emerald to local law security and worked to overcome
financiers’ confidence in the project. expand its footprint in Cambodia. In return, a number of jurisdictional and logistical
The deal represented a unique funding Sprott will have the exclusive right to fund hurdles to ensure perfection of the security
arrangement between the lenders’ future acquisition or development project in-country,” said a deal adviser.
requirements and the sponsor’s objectives. opportunities.
Apart from the $60 million debt facility The Okvau deposit, about 275km
provided by Canadian mining-focused asset northeast of Phnom Penh, is one of the Participants:
manager Sprott Private Resource Lending most advanced gold mines in Southeast
• Renaissance Minerals
II, Emerald also signed a $100 million Asia. The single open-pit mine has a 7-year
additional funding under an acquisition and mine life and an estimated capacity of • Norton Rose Fulbright
development facility for future opportunities. 106,000 ounces of gold production per • Sprott
The financing allowed Emerald to mobilise year. The gold mine has an 84% recovery • Euroz Securities
capital for the project development and rate and a head grade of 1.98 gram per
pipeline. tonnes.
2020
MENA winners
The Middle East and North Africa Winners in the MENA transaction category are:
dished up a fascinating array of infra- • Editor’s Choice MENA – Umm al Quwain IWP
structure and energy transactions to
have made it to financial close over • MENA export finance – Euler Hermes covered facility
the course of the judging period – the
• MENA oil & gas – Project Galaxy
2020 calendar year.
Here we have done our best to • MENA power – Fujairah F3 Independent Power Project
identify the most challenging and in- • MENA refinancing water – Al Dur phase II IWPP refinancing
teresting to have made it over the line, • MENA refinancing O&G – ADNOC Gas Pipelines Acquisition Refinancing
singling out for praise the fruits of your
• MENA refinancing Mining – Ma’aden Wa’ad Al Shamal Phosphate
(home-grown) labour in a very curious
Company refinancing
year to have been doing business.
• MENA renewables – DEWA V
Congratulations to all the winners. • MENA renewables solar – Al Dhafra Solar PV
• MENA transport – Cairo Monorail PPP
• MENA renewables wind – Genesis Wind Farm
• MENA water desalination – Jubail 3A
• MENA social infrastructure – Noor Abu Dhabi LED Streetlighting Phase
1 PPP
• MENA water wastewater – Umm al Hayman
This year we ploughed through 1,400 And there’s more. UAQ is the first IWP Suhail Mohamed Al Mazrouei
submissions for IJGlobal Awards 2020 – the non-recourse project financing structure
highest entry level for many years thanks to to have been procured by the awarding
ramped up marketing – and we raced to put authority – Federal Electricity and Water
company awards in front of our independent Authority (FEWA) – and it is the largest
judging team while tackling deal entries desalination project in the Northern
ourselves. Emirates.
Every year it’s a relief to see entries for All those factors combine to make it the
“the right transactions” – the ones you were inaugural winner of the IJGlobal Editor’s
hoping to see submitted… then holding Choice for the Middle East and North Africa.
them up for investigation to see if they look
quite so good when compared with rivals. Umm al Quwain IWP
However, when it comes to the Editor’s The UAQ project has been procured to
Choice Award… that’s our prerogative. deliver a 150 million imperial gallon per
James Hebert, resident IJGlobal MEA day (MIGD) greenfield seawater reverse-
hand, was quick to identify the $800 million osmosis desalination plant that is being
Umm al Quwain IWP (UAQ) in the Emirate developed by ACWA Power, Mubadala and
of Umm Al Quwain, United Arab Emirates, as FEWA.
a stand-out deal for the region that warrants It is due to be commissioned in 2022
recognition as the winner of the inaugural and, once completed, it will benefit from a
Editor’s Choice Award for MENA. 35-year water purchase agreement (WPA)
This transaction primarily wins based on with FEWA. "This project is FEWA’s
it being one of the first in the UAE to be IWPPs in the UAE have historically been
backed by a federal sovereign guarantee procured by EWEC, which has primarily
first asset in partnership
rather than any of the individual Emirates. been active in the Emirate of Abu Dhabi with the private sector. Its
Further, as part of the boom in regional as well as Fujairah. More recently, new implementation will reinforce
water deals that has been linked with soft IWPP programmes were fostered in the
mini-perms, UAQ bucks the trend in that neighbouring emirates of Dubai and UAE’s Water Security Strategy
the $688 million of senior financing was Sharjah, under the remit of DEWA and 2036 as well as bolster its core
settled on a 24.5-year, partially-amortising FEWA. Each programme was supported by
term facility with an average debt pricing of strong sovereign support and investment
programmes."
200bp. grade offtake wraps.
MENA export finance – Euler MENA Refinancing Water – Al MENA refinancing O&G – ADNOC
Hermes covered facility Dur phase II IWPP refinancing Gas Pipelines Acquisition
Refinancing
The IJGlobal export finance award for the The award for MENA water refinancing deal
Middle East and North Africa has this year of the year has been won by ACWA Power The award for MENA Oil and Gas
been won by HSBC and Euler Hermes for for the refi of the Al Dur Phase II IWPP Refinancing deal of the year has been won
the role they played on a major transaction located in Bahrain. by Galaxy Pipeline Assets BidCo for the
in the Kingdom of Saudi Arabia. This transaction consisted of the refinancing of its participation in Abu Dhabi
HSBC acted as a mandated lead arranger, replacement of around 44% of the senior National Oil Company’s (ADNOC) natural
an original lender and the agent bank in financing which is of particular note as this gas pipeline business.
regards to the $258 million export credit facility pioneering deal was brought to conclusion The project won thanks to its significance
supported by Euler Hermes, the official ECA of within the construction period. This is a first to the UAE oil and gas sector and the
Germany. Credit Agricole is structuring bank. in the annals of project financing across the sponsors’ recurrence to capital markets.
The facility was extended to the Saudi entire GCC/MENA region. The project centres on the $4 billion bond
Arabian Ministry of Finance to finance the The refinancing had to be affected refinancing secured by Galaxy Pipeline
purchase of buses from MAN Truck & Bus without triggering any defaults within the Assets BidCo that follows an even more
SE and EvoBus GmbH – a subsidiary of existing project financing. This involved significant deal from earlier in 2020 – a
Daimler AG – for the new Riyadh public close interactions with all stakeholders transaction that also features in these pages.
transport network. including inter alia the offtaker, the offtaker’s In 2020, the Global Infrastructure
advisers, the existing lenders and the Partners-led consortium bought a 49%
lenders, legal, technical and insurance stake in Abu Dhabi National Oil Company’s
advisers. natural gas pipeline business for $10 billion,
Due to these constraints, the replacement including $8 billion of debt.
of SFD had to be put in place within a tight The fresh bonds refinance half of the
six-month period. loans raised by the consortium, which also
The sense of urgency as to limiting any includes Brookfield Asset Management,
negative impact on the project schedule Snam, OTPP, GIC and South Korean investor
and the project economics also rose due to NH Investment & Securities.
The buses will help reduce greenhouse the occurrence of the Covid-19 pandemic. A $320 million debt service reserve facility
gas emissions and air pollution as well The project sponsors looked for a solution was also put in place alongside the bond,
as alleviate traffic congestion in the which had to be structured accordingly, provided by a 12-strong bank lending club.
metropolitan Riyadh area through a shift as the credit markets shifted to tighter The transaction was reportedly the largest
towards public transportation. commercial terms and more stringent single global energy infrastructure deal in
The bus fleet will integrate with a new due-diligence requirements, such as banks 2020 and the MENA region’s biggest. It
metro system that is currently under requiring additional diligence on Covid-19 will unlock $10.1 billion in foreign direct
construction in Riyadh, with the entire preparedness. investment into the Unite Arab Emirates.
project estimated to remove 250,000 car Given that SFD facility was a tightly ADNOC’s gas network is a core piece
trips from the city every day. priced financing and was being replaced of midstream infrastructure in the UAE
Particularly of interest is that this facility with commercial debt; and the lender and serves as a strategic pipeline system,
was structured to be compliant with the requirements in terms of coverage ratios which acts as the critical link between UAE
Green Loan Principles, as outlined by the had to be met – a mezzanine tranche was low-cost natural gas supply and robust in-
Loan Market Association in 2018. The loan introduced. This is the first instance of a country demand.
documentation confirms a commitment to project recourse mezzanine structure for any This agreement is the largest transaction
report on positive environmental impacts of IPP/IWPP in Bahrain and only the second since ADNOC announced the expansion of
the underlying project. instance of fully project recourse mezzanine its partnership and investment model in 2017,
This is the first such ECA-covered in GCC IPP/IWPP space. which aims to unlock value for ADNOC.
transaction in the kingdom and is understood The refinancing was oversubscribed Since then, ADNOC has entered the debt
to be the first “Green” ECA facility in the to the extent of 1.3 times, with additional capital markets for the first time, issuing a
Middle East. It is also the first ECA facility financing committed by 3 existing senior $3 billion bond backed by the Abu Dhabi
raised by the kingdom’s finance ministry. lenders (APICORP, Bank Saudi Fransi, Riyad Crude Oil Pipeline; partially floated ADNOC
This transport deal forms part of the Saudi Bank) and 3 new lenders (Al Rajhi Bank – Distribution, the first-ever IPO of an ADNOC
finance ministry’s strategy to support the both senior and mezzanine, Arab National Group company; and entered into several
completion of major development projects in Bank, National Bank of Bahrain). strategic partnerships in its drilling, refining,
the kingdom with increased contributions from The refinancing was given effect through fertilizer and trading businesses, among others.
the private sector. To this end, it is encouraging an innovative two-step process. This was This is the latest development on the ground
project owners in the public and private done to ensure that the project was not that exemplifies ADNOC’s pioneering spirit.
sector to adopt similar sources of finance. under-funded at any point of time and
Given the pace at which Saudi Vision that the construction schedule was not
Advisers
2030 – a comprehensive programme to negatively impacted.
• Citigroup
reduce Saudi Arabia’s dependence on
• HSBC
oil, diversify its economy, and develop Advisers • Clifford Chance
public service sectors – moves is likely • Shearman & Sterling • Latham & Watkins
that transactions of this nature will become • Deloitte • Mazars
increasingly common on the ground.
MENA power
Fujairah F3 Independent Power Project
When it comes to power projects, IJGlobal that JBIC had provided a soft mini-perm
rarely has to look far in the Middle East and financing.
North Africa for inspiration when it comes to The project will be critical to ensuring
picking a winner for an award. And so it was security of supply for the UAE grid in the
this year when Fujairah F3 IPP stood out as coming era of significant intermittent
the obvious winner. renewable generation coming online,
This project is to deliver a 2-2.4GW providing flexibility to the UAE’s power grid,
combined-cycle gas-fired power plant at setting a significant example for others in
Qidfa in the Emirate of Fujairah, on the the GCC to follow.
Gulf of Oman. This will be the third of the
three power/water installations at the Qidfa
complex, adding to the operational F1 and Advisers
F2 IWPP. • Alderbrook
The project was tendered by Emirates • Cranmore Partners
Water & Electricity Company (EWEC) • PwC
with Marubeni declared the first-ranked of non-recourse senior debt, a $200 million
• White & Case
shortlisted bidder and going on to sign the equity bridge loan, and a VAT facility. The
• Herbert Smith Freehills
PPA in February 2020 and progressing to senior debt corresponds to 80% of the total
funding that was delivered via a long-dated, • Norton Rose Fulbright
reach financial close mid-June.
soft mini-perm structure provided by JBIC • Clifford Chance
This was achieved in the midst of
and a group of commercial banks. • Afridi & Angell
the Covid-19 pandemic, despite travel
In addition to the typical project costs, • Al Tamimi
lockdowns imposed across multiple
jurisdictions, and while working with a large a VAT facility was secured from Standard • Fichtner
and geographically wide-spread financing Chartered Bank to fund VAT cash flows • Lummus Consultants International
group that ranged from Japan to the UK. during construction. • Operis
The total project cost is $1.2 billion and One of the stand-out data points from this • Willis Towers Watson
financing was provided through $900 million transaction is that it marked the first time
per kWh and successfully preserved the tariff Middle East and North Africa region, big is
CMYK 0 87 79 0 CMYK 64 49 37 0
will have a significant impact on the ground
to achieve financially close in spite of turmoil in
RGB 252 60 45 RGB 254 174 9
beautiful… and on that front alone the 2GW once it opens for service in 2023, offering
the financial markets caused by the pandemic. Al Dhafra solar PV development in the UAE a fast connection between Cairo and its
The EPC contractor is Shanghai Electric ticks a very significant box.
while the O&M partner is NOMAC, ACWA neighbouring cities, slashing commute
This mega solar park is a strategic times and reducing congestion.
Power’s wholly-owned subsidiary specialised project for the UAE and comes with strong
in operating power and water projects The transport ministry division National
support from the government as part of its Authority for Tunnels (NAT) put out the
across multiple technologies. commitment to source 50% of its energy
The sponsor team leveraged its experience tender for the PPP in 2018 as a priority
from clean resources by 2050. Al Dhafra public services project, mandated by the
and expertise from previous DEWA projects goes a long way to meeting these targets as
and factored in the potential impact of Egyptian government. Bombardier won the
it will generate electricity equivalent to the contract the following year (2019) to develop
Covid-19 in the construction schedule to consumption of 160,000 households.
further facilitate project execution. the monorail system alongside 2 Egyptian
An interesting point is that this is the first
The senior debt amounted to $419.5 companies – Arab Contractors (construction)
plant of such scale to deploy bifacial module
million including both base commitment and Orascom Construction (EPC).
technology, capturing as such light on both
and standby commitment from a group of The two-line project will be the first mass
sides of the PV modules and thus benefitting
nine regional, international and Chinese transit links between Greater Cairo, the new
from the reflection of light from the ground in
banks. Meanwhile the junior debt amounted capital and 6th of October City. Work includes
order to yield higher generation.
to $112.5 million, provided by three lenders building 34 stations, maintenance facilities,
And this deal set new records with the
to improve project economics and further depots and an operations control centre.
sponsors at financial close claiming to have
increase tariff competitiveness. achieved the worldwide lowest electricity cost. Cairo Monorail will have the capacity to
ACWA Power – as lead sponsor – received The solar park itself spans more than 20 transport around 45,000 passengers an
commitment from several international and square kilometres featuring 4 million PV hour in each direction at full capacity and –
regional lenders during the tender process, but modules and the project sponsors – EDF once complete – it will cover almost 100km.
these were whittled back on the basis of price Renouvelables (EDFR), Jinko Power, TAQA The €1.9 billion financing was provided
competitiveness and adherence to terms. and Masdar – are working in partnership by commercial banks with JP Morgan
The debt has a 27-year door to door tenor with EPC contractor China Machinery acting as facility agent alongside eight
– project completion plus 24 years – with Engineering Corporation. other lenders, and UK Export Finance
one-year tail against a 25 year PPA, all on a Construction started in October 2020 and (UKEF) guaranteeing the largest amount
soft mini-perm basis. the project has a 30-year PPA with EWEC of financing it has ever provided for an
The deal represents one of the few for 100% of produced electricity, as of overseas infrastructure project. The loan has
projects in the region that managed to completion. a 14-year tenor and a maturity date of 18
retain Chinese bank participation as the Olivier Bordes, chief executive of EDF December 2034.
banks drastically scaled back their long- Renewables Middle East, said: “This project Bombardier will design, supply and install
term overseas lending during the year. clearly demonstrates our ambitions to deliver rolling stock as well as the electrical and
Also noteworthy for this transaction, this competitive, innovative, and low-carbon mechanical equipment for the project. The
was the first time for any IPP in UAE that there energy solutions and to support the United rolling stock will be manufactured in Derby,
was no government guarantee to backstop Arab Emirates clean energy vision towards a UK. Bombardier will also provide project
termination payment obligations of the sustainable future. EDF’s CAP 2030 strategy management, systems engineering and
offtaker, leaving sole recourse to the offtaker. is in line with the regional ambitions aiming to integration, and test and commissioning
reduce the middle eastern countries’ carbon for the trains and signalling. Orascom’s
Advisers footprint. We are thriving to expand renewable work includes the design and construction
• EY energies in the region to fight together the of all infrastructure and civil works. The
• ACWA Power global climate change, and above all are consortium will operate and maintain both
• Trowers & Hamlins looking forward to successfully reaching, lines for 30 years.
• Norton Rose Fulbright with our partners and contractors, the full
• Covington & Burling commissioning of Al Dhafra PV project.”
• GOPA - International Energy
Advisers
Consultants
Advisers • Ashurst
• Mercado Aries
Alderbrook, Synergy Consulting, Clifford • White & Case
• WSP
Chance, Norton Rose Fulbright, King & • Zaki Hashem & Partners
• INDECS
Spalding, Linklaters, Shearman & Sterling, • Khatib & Alami
• Deloitte
White & Case, ILF Engineers, Mercados • SACE
• Lockton
• 5 Capital Aries International, DWPF, AON, INDECS • CESCE
2020
Africa winners
This last year – 2020 – saw perhaps Winners in the African transaction category are:
the most diverse range of infrastructure • Editor’s Choice Africa – Atinkou CCG
and energy awards to win prizes ever in
the IJGlobal Awards’ history. • African mining – Tasiast Gold Mine Financing
Sadly we were not able to include
• African oil & gas – Nigeria LNG Train 7
Mozambique LNG as it did not actu-
ally reach financial close until spring • African transport – BeitBridge Border Post Modernisation Project
2021 – though it was entered by many • African refinancing renewables – Bokpoort CSP
companies – but we are confident it will • African power – Azito Phase IV Project
make an appearance in our next award!
• African renewables portfolio – Financing of 7 Solar Projects in Angola/
The breadth of projects closed demon-
Angola Solar PV
strates something many in the infra
know well – Africa is open for business. • African battery storage – Golomoti Solar PV and Battery Energy
Storage Project
Congratulations to all the winners. • African digital infrastructure – Project Lightning
• African social infrastructure – Cote d’Ivoire Hospital & Medical Units
Portfolio
• African export finance – SGR Financing
• African Refinancing Mining – Resolute
There are few developments in the global where only 66% of the population have François-Guilhem Vaissier
infrastructure and energy sector that get access to electricity (2017 stats). By using
the juices of an infra hack flowing more combined-cycle turbine technology, the
than financial closes in Africa. For years plant will substantially contribute to reducing
people have been hailing the continent as Côte d’Ivoire’s generation costs and GHG
one of the true regions for growth – on a emissions, in part, through the displacement
country-by-country basis, they caveat – with of older generation units.
an exciting array of developments and This is a key development for the nation,
ambitions on the drawing board. beyond providing baseload energy, it helps
Energy (in all its many guises) tends to set Côte d’Ivoire on the path to transitioning
top most folks’ lists when it comes to Sub its energy sources – ticking a nice ESG
Saharan Africa and IJGlobal MEA hand – box – by providing stability in electricity
James Hebert – is very much of that mind generation as more intermittent renewable
in choosing the regional IJGlobal Editor’s energy sources are developed in the nation.
Choice Award, singling out for honours the
Atinkou combined-cycle, gas-fired power IFC to the fore
plant in Jacqueville some 40km west of As lead arranger and overall coordinator,
Abidjan, Côte d’Ivoire. the IFC negotiated all the debt financing.
This project relates to the development Atinkou worked closely with the IFC to pull
and operation for 20 years of a 390MW together an impressive line-up of DFIs to
natural gas-fired power plant using highly finance this greenfield power project. "I was very proud to advise
efficient combined-cycle turbine technology, This work proved so successful that the Eranove and Atinkou on this
increasing production and improving energy World Bank member was able to scale
back its ticket from the €120 million it had
landmark transaction that will
supply in Côte d’Ivoire.
The sponsor of the project is Eranove committed, to the €91 million it contributed generate more than 350MW
– a pan-African company active in the to the overall €303 million debt package. following completion of the
management of public services and The IFC’s success was so complete that
production of electricity and drinking by the time this deal made it to financial works."
water – created the Atinkou company close – 26 March 2020 – it was not even
for the implementation of this important the biggest ticket holder as the African
development project. Development Bank came in for €100
The new Atinkou power plant will boost million. The remaining debt was provided DEG, FMO, the OPEC Fund for International
power generation and supply in a country by The Emerging Africa Infrastructure Fund, Development and Attijariwafa Bank.
Eranove is majority-owned by ECP Power
and Water Holding (France) with a 53%
shareholding; followed by AXA with 18%;
Eranove employees with 15%; a group of
African private investors holding 9%; and
the Caisse Nationale de Prévoyance Sociale
(CNPS) of Côte d’Ivoire on 5%. It deployed
€101 million in equity to give the financing
a very respectable 75:25 gearing.
There was a highly-respected line-up of
advisers on this deal with White & Case
acting as Atinkou’s international legal
counsel led by partners François-Guilhem
Vaissier (project documentation) and
Paule Biensan (financing documentation).
Vincent Le Guennou, co-chief executive of Emerging Atinkou’s Ivorian legal counsel was C2A, led
Capital Partners (left) and Marc Albérola MD of Eranove by Pierre Djédjé.
Clifford Chance acted as the lenders’ Karim Amin, executive vice president Linda Rudo Munyengeterwa
international legal counsel, fronted by Paris- of Siemens Energy’s generation division
based partner Delphine Siino Courtin, while said: “Supported by our state-of-the-art
their local law firm was Cabinet Chauveau & technology and services, this power plant
Associés with Tanneguy Cazin d’Honincthun will be the most efficient natural gas fired
taking the lead. Willis was insurance adviser power plant in Côte d’Ivoire and in the
to the lenders while WSP supported it on region. It will help to reduce the area’s
technical issues. carbon footprint from power generation and
The contractor is TSK Electronica y support Côte d’Ivoire in its efforts to become
Electricidad while Siemens is supplying a regional energy hub.”
the turbine and long-term service function. For Eranove’s side, this deal cements its
Ramboll was environmental and social position as the key player in Ivorian energy
adviser, supported by Deloitte as financial generation as it also owns and operates the
model auditor. 544MW CIPREL project in Vridi, near the
town of Port-Bouët. It is the largest power
A project with impact plant in Côte d’Ivoire.
This power plant will provide Côte d’Ivoire Marc Albérola, chief executive of the pan-
with stable base load electricity to support African industrial group Eranove, said: “The
economic growth and the development of Atinkou power plant will produce electricity
intermittent renewable energy generation for thousands of homes and industries to
– playing a key role in the national energy meet national and regional electricity needs
transition. generated by strong economic growth.” "Once built, Atinkou will
On the clean energy front, it is a clear step As is the case with many deals in Africa
in the right direction as it replaces older, less the involvement of DFIs was essential to
provide affordable power to
efficient power plants in Côte d’Ivoire which get it over the line – though hopefully we thousands of homes and
will now be retired. Further, it is roughly 50% will soon be moving to a position where businesses, while helping
more efficient than the older plants. the role of such organisations morphs into
Siemens Energy’s scope of supply playing the role of “crowding in” rather than Côte d’Ivoire meet its goal
includes one SGT5-4000F gas turbine dominating the market. of transitioning to greener
and one SST5-3000 steam turbine, each Linda Rudo Munyengeterwa, IFC’s
along with a generator, condenser and an regional industry director for infrastructure
electricity production."
SPPA-T3000 control system. Additionally, and natural resources (MEA), said at
a comprehensive 12-year long-term financial close: “Once built, Atinkou will
service agreement (LTSA) has been signed provide affordable power to thousands of
between Atinkou and Siemens Energy. homes and businesses, while helping Côte Given the strong market position that
The SGT5-4000F gas turbine provides d’Ivoire meet its goal of transitioning to Eranove has established in Côte d’Ivoire, it is
high performance, low power generation greener electricity production. likely that the power company will continue
costs, long intervals between inspections, “IFC’s investment in the project is a to build on this in years to come in a nation
and a service-friendly design. Optimized testimony to IFC’s longstanding commitment that is keen to evolve its grid connectivity.
flow and cooling add up to high gas turbine to Côte d’Ivoire’s power sector, which began Marc Albérola adds: “The Atinkou plant
efficiency and economical power generation in 1994, when our partnership with CIPREL demonstrates the strength of Eranove’s
in combined cycle applications. began.” industrial model based on African skills and
public and private partnerships involving
the state and local players. Atinkou also
Siemens Energy’s scope of supply includes one SGT5-4000F
gas turbine and one SST5-3000 steam turbine confirms Eranove’s leading position as
an independent producer and delegated
manager of public services.”
François-Guilhem Vaissier, White & Case
partner, says: “I was very proud to advise
Eranove and Atinkou on this landmark
transaction that will generate more than
350MW following completion of the works.
“On the basis of CIPREL numerous
successes, we started back in 2016 with the
negotiation of a MoU with the state of Côte
d’Ivoire. Then the Convention de Production
was executed in December 2018. Following
this initial phase, we assisted Eranove and
Atinkou’s dedicated teams on all related
agreements including the financing,
construction and technical services ones.”
And all that hard work came to a
successful conclusion when it reached
financial close on 26 March 2020 and is a
feather in the cap to all parties involved.
African mining
Tasiast Gold Mine Financing
Kinross Gold Corporation achieved financial package that was developed with local says that based on the feasibility study,
close on the expansion of its open-pit counsel in response to the unique legal the expansion is expected to increase
Tasiast Gold Mine asset in north-western and regulatory challenges associated with production, reduce costs, and extend mine
Mauritania on the back of a multi-source the creation, perfection and enforcement of life to 2033.
project financing featuring both state- collateral security in Mauritania.
backed lenders and commercial banks. The deal also represents the IFC’s largest
The debt financing was led by ever investment in Mauritania at $63 million Advisers
International Finance Corporation (IFC) and A loan and a further $93 million through IFC
the Export Development Canada (EDC). On trust loans. The World Bank Group member • HCF International Advisers
the back of this DFI and ECA support (the considers the project to be aligned with the • Milbank
original senior lenders), two commercial government of Mauritania’s development
banks joined the fray – ING Group and agenda. • Sullivan & Cromwell
Societe Generale. ING and Societe Generale provided a • Maître Yarba Ould Ahmed Saleh
The loan facilities carry an eight-year tenor combined $70 million through syndicated
• Avaconseil
and are non-recourse to Kinross and have a IFC B loans while the EDC was in the for
weighted average floating interest rate – the the remaining $75 million. Overall, the $300 • Herbert Smith Freehills
debt pricing is 438bp above Libor. It also million debt package serves to part-fund a • De Pardieu Brocas Maffei
features an extended availability period and $822 million expansion of the mine.
permits an unlimited number of drawdowns The project financing will fund an • Loyens & Loeff
to provide the Tasiast SPV with flexibility to expansion of the operations of the Tasiast • NautaDutilh
meet its operational funding needs. gold mine, together with all associated
• Pestalozzi Attorneys at Law
These conditions were set out in a facilities and infrastructure. The production-
Common Terms Agreement that states side is expected to incrementally increase • Homburger
the terms common to all senior debt, all of throughput capacity to 21,000 tonnes per • RPMGlobal USA
which ranks equally and shares pari passu day by the end of 2021 and then 24,000
in a multi-jurisdictional common security tonnes per day by mid-2023. Kinross
Advisers
Advisers Advisers
• Fasken Clifford Chance, Orrick, Fideis Legal, • ING Bank
• Mott McDonald Asafo & Co, Chauveau, WSP, BDO, FDKA, • Clifford Chance
• Deloitte Leue & Alesco, Indecs Consulting • Norton Rose Fulbright
African transport
BeitBridge Border Post Modernisation Project
The $300 million BeitBridge Border Post The financing package includes a through the border can currently take 2
Modernisation Project closed in November, $130m commercial debt tranche from days or more, with this project it will take a
concluding financing for the upgrade and ABSA Bank, Nedbank, RMB and Standard fraction of that time. It delivers infrastructure
rehabilitation of the Zimbabwean side of the Bank with political and commercial risk that makes a difference by not only
border post, under a 17.5-year concession. cover provided by the Export Credit stimulating sustainable economic growth
It is the busiest border post in southern Insurance Corporation of South Africa, and job creation but by also providing
Africa, connecting South Africa to Zimbabwe alongside a $65m DFI tranche funded much-needed social infrastructure to the
and providing a key access point for trade by Afreximbank and the Emerging Africa local community.”
with countries further to the north. Infrastructure Fund and a US$22m loan
Under the concession, La Frontiere from EAIF as well.
is tasked with upgrading the ageing Daniel Zinman, RMB project lead for
infrastructure, which for some time has BeitBridge, says: “This project comes at Advisers
caused significant waiting periods at the a time when infrastructure development
border, slowing trade and causing many and PPPs are more critical than ever to • RMB
haulage operators to use less-efficient stimulate economic growth, and further • EY
alternative routes. enhances RMB’s reputation as the leading
The concession also requires the delivery investment bank in the African concessions • Herbert Smith Freehills
of social infrastructure to the adjacent town and PPP sector, through the provision • Bowman Gilfillan
of Beitbridge, including a water treatment of an end-to-end infrastructure finance
plant, housing and fire station. solution which enables our client to deliver • Mott MacDonald
RMB was financial adviser to the this landmark infrastructure development,
• Aurecon
sponsor from 2018, helping structure a despite a challenging jurisdiction and
bankable project financing and bring in an unprecedented and uncertain global • AON
co-shareholders like the Pembani-Remgro backdrop.”
• Willis Towers Watson
Infrastructure Fund and the Pan African Judy Cobus, co-head RMB Infrastructure
Infrastructure Development Fund. Sector Solutions, adds: “A truck moving
The award for African Battery Storage deal the projects and was an ideal solution to project has received from the Government
of the year has been won by JCM and Covid-19 restrictions. of Malawi, regulators and the state utility,
InfraCo Africa for the 20MWac Golomoti Moreover, it reduced development ESCOM. By generating additional power and
project in Malawi. timelines and costs, and introduced a high pioneering energy storage, Golomoti Solar
Golomoti won for the storage component degree of flexibility in negotiating with will ensure that homes and businesses in
of this solar PV project which is billed as equipment providers in a turbulent pricing Malawi will have access to more reliable
the first utility-scale grid-connected PV plant and supply market. The operations will also electricity to drive economic growth.”
in sub-Saharan Africa to include a battery be self-performed by the project.
energy storage system (BESS). The project incorporates a state-of-the-
JCM and InfraCo Africa were selected as art 5MW/10MWh lithium-ion BESS which
preferred bidder for the Golomoti project will enable the plant to provide reliable Advisers
in 2017 and accelerated development of power and improve network stability,
the project through committing to an equity reducing reliance on hydro and diesel • Innovate UK
financing structure prior to construction. This generation, while ensuring that grid stability • Norton Rose Fulbright
significantly de-risked the project for lenders is maintained.
who were expected to provide financing This is of particular importance as • Eversheds Sutherland
after the project entered commercial Malawi currently has an islanded power
• Mott MacDonald
operations. network and the BESS will demonstrate the
Rather than engaging a single turnkey pathway for increasing the contribution of • RINA
EPC contract, the project is being delivered variable renewable energy on the network.
• Zutari
through individual contracts with JCM Performance data from the BESS will inform
managing contracts with equipment similar systems elsewhere in the region. • Power Engineers
suppliers and works contractors. This InfraCo Africa chief executive Gilles
structure allows for a much more localized Vaes said: “This key milestone has been • ERM
delivery and provides flexibility to deliver made possible by the strong support the
Europe
Tenders launched Projects with recent tender updates
1 Sines 4.0 Data Centre
2 South Kavala Gas Storage Facility PPP
Others United Kingdom 3 Acquisition of 30% in ATC Europe
36 projects 33 projects
4 Crete Courthouses PPP
5 Heathrow Southern Rail Link PPP
6 Acquisition of Falbygdens Energi 2021
103
7 VindO Wind Energy Island (3GW)
8 Attica-Crete Interconnector (1GW)
Hornsea I Enel Polimery Police Telefonica Acquisition of Vantage Towers D4 Haje–Mirotice HICL
Offshore Sustainability-Lin Petrochemical German Fiber T-Solar 2021 Bond Facility Section (32KM) Infrastructure
Transmission ked Facility 2021 Complex Optic Network 2021 Reconstruction ESG-Linked
Link (120KM) PPP Refinancing
Neoen in April (2021) reached financial since 2016 when it applied for land use Xavier Barbaro
close on the €478 million ($577m) permits.
Mutkalampi Wind Farm – Finland’s largest Its deal with Neoen included the
onshore wind project, with commissioning formation of an 80/20 JV between the 2
set for late 2022. developers – the duo’s second collaboration
The 404MW wind farm is currently under after jointly producing the 81MW Finnish
construction and located on the border Hedet Wind Farm which came online last
between the regions of Central and North year (2020).
Ostrobothnia, western Finland, and has The shareholding on the Mutkalampi wind
been in the pipeline since 2019. farm replicates this split:
Vestas has been signed on to the project • Neoen – 80%
as sole turbine provider and EPC contractor. • Prokon Finland – 20%
The wind farm will comprise 69x turbines:
• 63x turbines with capacity of 6MW In the months ahead, the project sparked
• 6x turbines with a capacity of 4.3MW interest from Google from an offtake
perspective. The tech giant had already
Once operational, the wind farm is expected bought all the power generation from Hedet,
to account for 2% of Finland’s annual and in September 2019 entered into a
electricity production. 10-year PPA with Neoen to buy around one-
Energy produced at the farm is likely to third of Mutkalampi’s output.
be staggered with a first leg scheduled to Goggle’s contract to take 130MW of
open at the end of 2022 and the second in the wind farm’s output starts in 2022 and "Our energy is attractive to
the third quarter of 2023. the energy will be used to power Google’s an increasingly large number
Finnish data centres.
Conception Neoen chief executive and chairman,
and wide range of buyers, in
French renewable energy giant Neoen in Xavier Barbaro, said in 2019: “Our energy particular large businesses
2019 enlisted the services of local legal firm is attractive to an increasingly large number belonging to the RE100 such
Borenius to acquire 80% of a 250MW wind and wide range of buyers, in particular large
farm from Prokon Finland. Prokon’s Finnish businesses belonging to the RE100 such as as Google."
branch had been planning the wind farm Google.”
Vestas has been signed on to the project as sole turbine provider and EPC contractor
A year later, in December 2020, Neoen corporates continue to make strides towards Carina Radford
confirmed that a further roughly third – decarbonisation as part of the wider energy
126MW – of the wind farm’s output will transition,” he added.
be sold under 10-year virtual PPAs with a
consortium of Dutch offtakers: Financing
• Heineken Neoen confirmed in April (2021) that it had
• Nobian (previously Nouryon) secured financing on the wind farm.
• Philips The lenders are:
• Signify • MEAG – sole senior lender – €290
million
At this point Neoen extended the total • SEB – providing the VAT facility – €38
capacity of the wind project to 404MW – million
securing its status as the largest onshore
wind project in the country. MEAG is a Munich Re company acting on
The electricity contracted to the behalf of primary insurance companies
consortium will be plugged in to the Finnish of ERGO, institutional investors via MEAG
grid, with a guarantee of origin certificate for and several investment funds managed by
the consortium partners to certify that the MEAG, including MEAG Infrastructure Debt
power has been renewably produced. Fund II.
According to the consortium, while the As reported by IJGlobal at the time of "Notwithstanding the
companies have signed PPAs for renewable financial close, Neoen would not disclose
electricity in the past, this is the first time details of the tenor of the debt arranged, but
impressive size of the deal
a virtual PPA has been formed to drive a source within the organisation said it was and the dynamic commercial
“incremental” renewable electricity usage in longer than the PPA horizon – which is 10 arrangements underpinning
Europe. years – as “lenders were comfortable with
The remaining portion of the offtake is assuming merchant exposure in that region”. the financing, the process
being sold on a merchant basis, Neoen has White & Case partner Carina Radford to financial close was pretty
since confirmed. acted for Neoen on the deal. She said: “The
Norton Rose Fulbright EMEA head of deal moved swiftly and efficiently with all
smooth."
energy, Charles Whitney, called the signing parties prepared to align commercially in
of cross-border virtual PPAs “innovative”. short order and financiers showed their in-
“It is a trend that we expect to see more depth knowledge of delivering onshore wind She added: “Notwithstanding the
of in the European corporate PPA market, as farm financings.” impressive size of the deal and the dynamic
commercial arrangements underpinning the
Prokon’s original land use map for the project financing, the process to financial close was
pretty smooth.”
Aside from the financing costs, total
investment in the project now stands at an
estimated €478 million.
Holger Kerzel, member of the board of
management at MEAG, said: “This project
fulfills our high expectations for sustainable
and successful investments. Private
sector financing by MEAG is an important
contribution for the maintenance and
modernisation of infrastructure as well as for
the expansion of renewables.”
Advisers
Advisers to Neoen:
• Voltiq – financial adviser
• White & Case – legal
• Borenius – local legal
• Natural Power – technical
• PwC – tax and model reviewer
Advisers to lenders:
• Norton Rose Fulbright – legal
• Hartford Steam Boiler – technical adviser
to MEAG
• PwC – tax and model reviewer to MEAG
North America
Tenders launched Projects with recent tender updates
166 Deals
5
6
Eglinton Crosstown LRT West Extension PPP
United States
8 Scarborough Subway Extension PPP
148 projects
Traverse Wind Bull Run Water AES Distributed One Gas Bond New York Thruway Acquisition of Lendlease Acquisition of
Farm (999MW) Filtration Facility Energy US Solar Facility 2021 Service Stations Hygo Energy Privatised Military Equinor's Bakken
WIFIA Loan Portfolio (216MW) PPP Transitions Portfolio Field Assets
Renovation
Irish company Applegreen has been JLIF Holdings (Project Service) was Prior to that, the authority issued a
active in the US market since 2014, slowly acquired by UK-based fund managers request for expressions of interest in April
expanding its foothold in the forecourt retail Equitix and Dalmore as part of its acquisition 2018, inviting those in the hospitality,
space through organic and acquisition- of John Laing Infrastructure Fund (JLIF) in tourism, travel, freight transport and public
driven growth. September 2018. sectors to provide input on operational,
The New York Service Areas project is JLIF had owned the asset since May logistical and environmental components
the second P3 project it has been involved 2016, paying $105 million in equity value to which could be used in the development of
in, the first being the Connecticut Highway buy the project company. the RFP.
Service Plazas P3 in which it acquired a Equitix and Dalmore Capital acquired JLIF Governor Andrew Cuomo also backed the
40% stake in 2019. in its entirety and the fund was de-listed in project and announced it in his 2018 State
Applegreen appears to have a strategy – October 2018. of the State address.
join an existing consortium already involved Similarly, Applegreen joined the Empire In November of the same year (2018), a
in a P3 and then take a majority stake. State Thruway Partners (ESTP) consortium pre-proposal conference was held drawing
The Irish company joined a consortium in September 2020 which until then had a great deal of interest from the industry,
alongside IST3 Investment Foundation and included John Laing. including from Applegreen.
TD Greystone Asset Management to acquire John Laing exited ESTP and Applegreen In June 2019, 5 teams submitted bids:
JLIF Holdings (Project Service) US, the became sole investor and consortium lead, • ESTP led by John Laing
owner of the Connecticut Highway Service but retained the option to add another party • Oaktree Capital Management
Plazas P3, in August 2019. to the team post-financial close. • Macquarie Capital
It acquired its 40% stake for $38 million Adding another company is subject to • Liberty Infrastructure Partners
with the option to increase its share to approval from the New York State Thruway • Star America, Nexus and Drexel Hamilton
60% through a call option agreement with Authority.
TD Greystone, exercisable 5 years after Development plans for the service area
completion of the transaction and giving Procurement include:
Applegreen majority control. The New York State Thruway Authority • making the locations leadership in
IST3 Investment Foundation holds 40% issued an RFP for a developer to DBFOM 27 energy and environmental design (LEED)
and TD Greystone Asset Management has service areas along the 570-mile system in certified
20% in the consortium. October 2018. • installing solar arrays and irrigation-free
The University of Idaho reached financial close on its steam plant and utility system in December 2020
Another successful P3 was Maryland’s 35-year lease with Areas USA to DBFOM 2 travel plazas on the I-95
Latin America
Tenders launched Projects with recent tender updates
1 Ituango Hydropower Plant (2400MW)
Others
11 projects 2 Kimal - Lo Aguirre HVDC Transmission Line (1500KM)
96
37 projects
5 Amapa's Water and Sewage Services Portfolio PPP
Chile
30 projects
Closed deals by country
Oil & Gas Power Renewables Social & Defence 2 Mexico 779 3
Transaction count 2 Transaction count 8 Transaction count 22 Transaction count 2
3 Chile 643 7
4 Colombia 271 5
$278 $381 $2,860 $84
($m) ($m) ($m) ($m)
5 Bolivia, Brazil 150 1
6 El Salvador 128 1
Telecoms Transport Water
Transaction count 3 Transaction count 5 Transaction count 2
7 Paraguay 94 1
8 Peru 39 3
$1,625 $369 $322
($m) ($m) ($m) 9 Uruguay 0 1
BW Tatiana AT&T Acquisition of FS Bioenergy Equatorial Ascenty Brazil Data Port Acu Solar Acquisition of
FSRU Comunicaciones 45% in Igua Green Bond 2021 Energia First Center Portfolio & PV Plant Voltalia's Brazilian
Digitales Saneamento Bond Facility Fiber-Optic Network (1.1GW) Wind Portfolio
Refinancing 2021 Expansion (373.7MW)
The Port of Açu project was originally envisioned by Eike Batista, a Brazilian megalomaniac entrepreneur
and launched it the next year focusing on LLX started the construction teamed up with GNA, which was originally a
port and industrial operations, and power of Port of Açu in 2007 joint venture between BP and Siemens, but
generation. now includes SPIC as shareholder.
The JV built an LNG terminal including
Today, the port accommodates: a fully dedicated floating storage and
• iron ore terminal (a JV between Anglo regasification unit (FSRU), with a total
American and Prumo) capacity of 21 million of cubic meters daily,
• oil terminal (JV between Prumo and in addition to pipelines connecting to the
Oiltanking) gigantic oil & gas fields in Brazil’s pre-salt.
• marine fuel terminal (JV between Prumo GNA III and IV will use both imported
and BP) LNG and gas produced in the pre-salt. GNA
• multicargo terminal (JV between Prumo I and II will work exclusively on LNG.
and Port of Antwerp) GNA has a long-term fuel supply
• terminal for integrated oil & gas services agreement with BP. All turbines are supplied
(JV between Prumo and GranIHC) by Siemens Energy, including 3 gas
• Edison Chouest terminal (offshore turbines and 1 steam generator for each of
support base) the power plants.
• NOV terminal (manufacture flexible pipes) The project also includes the construction
• Technip terminal (flexible pipes factory) of transmission lines to connect to the
• InterMoor terminal (anchoring services for national grid. GNA I acquired a 23-year PPA
rigs and FPSOs) Prumo began planning the LNG-to-power from Bolognesi Group with 36 distribution
• Wärtsilä plant (production and assembly complex due to the diversity of businesses companies in Brazil, awarded previously in a
for azimuth generators) in the industrial complex which presented government-held power auction.
an opportunity for power generation. GNA II was one of the winners in the
Port of Açu is also currently considering The complex could also easily receive Aneel A-6 auction held in 2017, which
entering the newest wave of green LNG cargo and have heavy industries offered 35-year PPAs for the power plant,
hydrogen production. consume large quantities of energy. It then starting in 2023.
Trial IJGlobal
for free today
With reporters globally, we keep our subscribers informed of
real-time developments around the world.
Track news, people moves, projects and Contact us today for:
assets in all regions and never miss a lead or
Multi-user Corporate Join your
opportunity. trial trial company
subscription
Our leading coverage tracks all the main
sectors of energy and infrastructure including
renewables, transport, telecoms, social &
defence and oil & gas.
Asia Pacific
Tenders launched Projects with recent tender updates
1 Makati Underground Railway System (10.1KM) PPP
214
5 Acquisition of 65.5% in Tilt Renewables
2 India 6,025 14
4 Philippines 1,738 5
Mining Oil & Gas Power Renewables 5 Pakistan 1,463 2
Transaction count 6 Transaction count 6 Transaction count 15 Transaction count 27
6 Japan 1,288 6
7 Uzbekistan 1,150 3
$2,579 $3,935 $7,741 $4,884
($m) ($m) ($m) ($m) 8 Indonesia 1,064 3
Adani Green Energy Footscray Acquisition of FMG Resources Halmahera Nickel Privatisation of Shirin CCGT NBN Co
Rajastjan Solar PV Hospital PPP 26.25% in Curtis Bond Facility 2021 Laterite Ore 61.65% in Power Plant Refinancing 2021
and Onshore Wind Island LNG's Processing Plant Numaligarh Oil (1.5GW) IPP
Portfolio (1.69GW) Mixed-Use Refinery
2021 Infrastructure
Adani Green Energy’s (AGEL) earnings call • Rabobank – bookrunner Vneet Jaain
with debt investors on 10th May (2021) • Siemens Bank – bookrunner
highlighted one of the company’s most • SMBC – bookrunner
consequential transactions to close in
FY2021. The transaction involved several innovations
AGEL sealed a $1.35 billion senior in India’s project-finance market.
debt facility with participation from 12 “This is the first diversified hybrid project
international banks to finance India’s largest financing,” says a project insider.
hybrid cluster development. “We’ve seen cross-collateralisation
The facility will initially finance the structures in the renewables space, going
1.69GW hybrid portfolio of solar and wind as far back as 2012,” the source added,
energy projects under construction by “and some on the bond side with cross-
4 SPVs in India’s north-western state of collateralisation.”
Rajasthan. “This is India’s first extremely large-scale
It is one of the largest revolving project cross-collateralisation project financing
finance deals to date in the Asian structure in renewables and in the hybrid
renewables sector. space in particular.”
The facility is also India’s first Asia Pacific The closest structuring model comparable
Loan Market Association-certified (APLMA) is a restricted group (RG). Although not
green hybrid project loan, although Soft common in India’s US dollar bond market,
Bank subsidiary SB Energy’s 900MWdc AGEL and ReNew are among half a dozen
solar farm in Phalodi-Pokhran Solar Park, or more sponsors with RGs in the bond
Rajasthan, also claims to that distinction. market.
In India’s finance market, cross- "The banks that have
Financing collateralisation often pertains to cashflow
The $1.35 billion senior debt revolving capabilities of the underlying projects and committed to this strategic
project finance facility is funding India’s not physical security. transaction are our key
largest hybrid cluster development, which is Since the Securities and Exchange Board
under construction strategically in the heart of India (Sebi) classifies AGEL’s revolving partners in ensuring seamless
of the Thar Desert near Jaisalmer. project finance facility as an external access to global capital for our
commercial borrowing (ECB), the sponsor
The 12 commercial banks and their roles can’t cross-collateralise using physical
underlying renewable asset
are: assets. portfolio."
• Standard Chartered – lead underwriter, In a bond RG, “each SPV guarantees
MLA, bookrunner, environmental due the note obligations of the other 2 SPVs,
diligence adviser, co-documentation bank although the notes constitute each issuer’s
and co-green loan coordinator obligations only on a several basis,” Fitch the bond market, except an assurance of
• MUFG – bookrunner, technical bank and explained in October 2020, when rating taking the projects to the bond market.”
co-green loan coordinator AGEL Restricted Group 2’s $362.5 million The RG-like project finance structure
• BNP Paribas – bookrunner and co- notes due 2039. places a premium on the banks getting
documentation “It is sponsor-supported but the take-out comfortable with the quality of the assets,
• DBS – bookrunner and accounts bank is most similar to a bond refinancing take- quality of the project cashflows, and the
• Mizuho – bookrunner and financial out in particular,” noted the project insider. sponsor’s – in this case Adani’s – record of
modelling bank “It is the first time in many ways this quasi mitigating completion risk.
• Barclays – bookrunner bond take-out structure with limited recourse This project finance RG model can be
• Deutsche – bookrunner has been structured in. The recourse is replicated across infrastructure sectors,
• ING – bookrunner effectively for completion. However, the including roads and smaller project
• Intesa Sanpaolo – bookrunner take-out has not been underwritten through financings.
“It’s India’s first project finance RG,” the Adani also has 2.87GW under execution, Stage 3 – execution in progress – involves
project insider points out. “It boils down to split among: detailed engineering, supply chain
the sponsor’s capacity to deliver the cluster • hybrid – 1.69GW management, site execution and O&M
of projects.” • wind – 1.13GW readiness, including integration to Adani’s
From an outsider’s perspective, it may • solar – 50MW Energy Network Operations Centre.
be surprising that no Indian lenders The hybrid cluster will power more than
participated in the transaction. However, this A further 8.9GW are near construction as 1.3 million households and annually avoid
was an international borrowing programme follows: 5.8 million tons of CO2 emissions.
from the very beginning, a source shares. • solar – 8GW
“The banks that have committed to this • hybrid – 600MW Advisers
strategic transaction are our key partners in • wind – 300MW
ensuring seamless access to global capital Advisers to the sponsor were:
for our underlying renewable asset portfolio,” That’s a combined 15.24GW across Adani’s • Latham & Watkins – legal international
AGEL chief executive Vneet Jaain said in renewables portfolio, for anyone counting. • Luthra & Luthra – legal local
March (2021). “The facility will also ensure Bottom line is that Adani has experience
capital recycling needs of the banks and delivering projects. Lenders’ advisers comprised:
make the same capital available for future The 1.69GW hybrid cluster development • Linklaters – legal international
projects of AGEL.” near Jaisalmer spreads across more than • Cyril Amarchand Mangaldas – legal local
A market insider insists this was the single 10,000 acres of land. • Tractebel Engineering – technical
largest diversified commercial bank project Bankers were attracted to the metrics of • UL – energy yield assessment consultant
finance transaction in India since the 1990s. India’s largest hybrid cluster: • ERM – environmental & social
“I’ve not seen a larger portfolio of • high capacity utilisation factor of 46% • Arcadis – environmental and social due
international commercial banks come • 100% contracted diligence
together. That’s a massive achievement.” • 25-year PPAs • Deloitte – model audit
A project insider confirmed that the • Marsh – insurance
transaction reached financial close in FY21, Adani detailed 3 stages of the cluster
after one of the 4 project companies had development. AGEL fully de-risked stage 1 KPMG was the green loan’s independent
its first drawdown. “Different entities need – site origination – well in advance. “Perfect assurance provider.
money at different points in time,” they said. location for hybrid,” said the company, with Variability in renewable energy generation
“At least one of those entities has borrowed these characteristics: is a concern among power regulators,
under the consolidated structure.” • solar irradiation – 2,000 kWh/sqm – top developers, bankers and advisers. As the
5 in India share of renewable energy expands in the
India’s largest hybrid cluster • wind speed – 7 meters/second energy mix, the problem becomes more
development • ample availability of non-agricultural pronounced.
The financing transaction was mainly barren land Hybrid wind and solar power plants help
achieved during the outbreak of Covid-19. reduce variability in power generation.
Activities included not only limited site visits, The cluster also has well planned They also mitigate the intermittency
technical and legal due diligence, and land evacuation. It is connected to central grid challenge by having a higher capacity
review but also a review of Adani’s portfolio. distributing power across India through high utilisation, as solar generation is higher
Adani’s 50/50 JV with French energy and capacity transmission lines including 765kV. during the day and wind generation can be
power developer Total has 2.353GW of Adani mostly de-risked stage 2 – site higher at night.
operational solar. Adani’s own operational development. It has completed 71% of While energy storage may be the
assets include 620MW solar and 497MW the total 10,294 acres of land acquisition missing asset to optimise this power
wind including 150MW wind assets under while keeping an eye on stakeholder solution, hybrid power plants are likely to
acquisition from Inox. management and construction approvals. gain market share.
Wind turbine generator maker Suzlon Suzlon Siemens Gamesa and Suzlon
64
5 Acquisition of 49% in Aramco Oil Pipelines Company
Area 1 Public Investment Jeddah and Rabigh Solar PV Red Sea Tourism Acquisition of a ACWA Power Malagarasi Hydro
Mozambique LNG Fund Revolving Makkah School Plant (300MW) IPP Megaproject Green 20% Stake In Sukuk Additional Power Plant
Credit Facility Bundle PPP Financing Mirfa Facility 2021 (50MW)
2021
Saudi Arabia’s water drive continues with slightly smaller Shuqaiq-3 IWP by the former • Marubeni, Marafiq – SR1.9168/m3
the 450,000 cubic metres per day (m3pd) Water & Electricity Company (WEC) on 24 • Veolia Middle East, Alkhorayef Group, Al
Yanbu-4 independent water producer October 2017. Bawani Water & Power – SR2.0242/m3
(IWP) project which was bought to financial The design capacity of Shuqaiq-3 was
close by an Engie-led consortium in March later increased from 380,000 to 450,000 A sixth bid from Utico was declared non-
(2021). m3pd by the time it had been signed to a compliant. SWPC had chosen to delay
The $880 million project includes a 39km, Marubeni-led consortium in January 2019. announcing the bid prices at the time, but
600,000 m3pd transmission pipeline – or The change may have been due to the Utico’s proposal was undermined by the
water special facilities (WSF) – which will be protracted tender process of its formerly financial instability of its chosen EPC partner
the first such asset developed by the private bigger brother in Yanbu-4. Hyflux.
sector in the Kingdom. Over a year-and-a-half later, WEC re-issued Utico’s long-term partnership with
The sponsors were able to retain the pre- a call for expressions of interest (EoIs) the Singaporean EPC contractor also
pandemic debt pricing for the $400 million for Yanbu-4 in March 2019, despite the complicated the tender for the 545,000
soft-mini perm signed with 5 banks. receipt of 51 such responses for the original m3pd Hassyan IWP in Dubai over the
The other lender – the Export-Import Bank October 2017 call. course of 2020 – but Utico nonetheless won
of Korea (KEXIM) – provided an extra W260 Meanwhile, the $600 million Shuqaiq-3 the tender in November that year and set a
billion ($232.2 million) in debt which largely went to financial close just a few months world record for desalinated water tariff at
paid for the late addition of the WSF, and later on 8 May 2019. $0.27762/m3.
forms part of a strong Korean backing for WEC became SWPC by the time 6 RFP The result in Dubai suggests that Utico
the project. responses were received on 7 October may have also put in a highly competitive
The Saudi Water Partnership Company 2019 for Yanbu-4, but only 5 were deemed bid for Yanbu-4.
(SWPC) has successfully procured another compliant. Nonetheless, back in Saudi Arabia the
major reverse osmosis desalination IWP, The bids were finally opened on 13 Yanbu-4 scheme was awarded to the Engie-
just 6 months after FC on Jubail 3A in February 2020: led consortium. The members and equity
September 2020. • Engie, Mowah – SR1.7446/m3 stakes of the consortium are:
Yanbu-4 will be located at Ar Rayyis within ($0.465227) • Engie – 40%
the Madinah Region on the Red Sea coast. • FCC Aqualia, Haji Abdullah Alireza & Co, • Mowah – 30%
Alfanar – SR1.7775/m3 • Nesma – 30%
Tendering • ACWA Power, Gulf Investment
The SWPC was not yet called that when Corporation, Al-Babtain Contracting – Saudi Water Partnership Company (SWPC)
Yanbu-4 was first launched alongside the SR1.8435/m3 signed with the sponsors the original 25-
year PPA on 28 February 2020 using the
The design capacity of Shuqaiq-3 was increased from 380,000 to 450,000 m3pd winning tariff of 0.465227/m3.
However, due to the increased capex
following to the addition of the WSF in
February this year (2021), it means that the
agreed tariff was raised accordingly in a
new set of signed project documents from
the same month.
Financing
Financial close was also an oft-delayed
process, both due to the onset of the
Covid-19 pandemic and the late addition
of the WSF which amended the project
documents.
The first target for FC was May 2020,
however ensuing postponements were
expected “given the impact of Covid-19 on
some of the required local administrative
CPs”, a source close to the deal told
IJGlobal in June 2020.
Even in April this year (2021), some deals
in the MENA region are still being signed via
virtual ceremonies rather than in person. Yanbu-4 – a statement of intent KDB was already attached to the deal some
Nonetheless, the Engie-led consortium Yanbu-4 is emblematic of the Saudi intention months prior.
put Yanbu-4 to financial close on 21 March to fulfill its national water objectives of the The sponsors have said that they are
(2021) after a year-long wait from the award Vision 2030 initiative, while maintaining a committed to the local content requirements
in February 2020. primary role for the private sector. – a Saudization rate of 40% during
The debt/equity ratio is 72:28. The The desal also features the ever- construction, rising to 70% within 5 years of
commercial banks on the deal are: increasing local content requirements the start of commercial operations.
• MUFG – global facility agent sought on new projects. Yanbu-4 IWP is expected to begin
• KDB SWPC must be reeling. In spite of the commercial operations in Q4 2023.
• NCB pandemic, it has overseen the financial close
• Riyadh Bank of 2 major desalination schemes within 6 Advisers
• Standard Chartered months, from the 600,000 m3pd Jubail 3A
on 2 September 2020 to the 450,000 m3pd The advisers to SWPC were:
The lenders signed in December 2020 on a Yanbu 4 on 21 March (2021). • SMBC – financial
$400 million soft mini-perm using the same Like Jubail 3A, Yanbu-4 will include • DLA Piper – legal
debt pricing agreed before the onset of the 20MW of solar PV to provide captive power • ILF Consulting – technical
pandemic in March (2020). and reduce the asset’s burden on the
Two lenders also provided equity bridge national grid. Deloitte advised local investor Mowah.
loans to the sponsors: Moreover, the WSF will be transferred to
• Unicredit the Saline Water Conversion Corporation Engie was advised by:
• Riyad Bank (SWCC) upon construction. • Covington & Burling – legal
The sponsor consortium signed with • Mott MacDonald – technical
The project financing was reviewed by South Korean engineers Doosan Heavy • Mazar – model auditor
the second party opinion provider Viego Industries the $708 million EPC contract for
Eiris, and thus was eligible for green loan the desal in January (2021). The signing The lenders were advised by:
principles. The green loan coordinator on disclosed the deepened Korean role on the • Herbert Smith Freehills – legal
the deal was MUFG Bank. project with the involvement of Kexim, while • Atkins – technical
Infrastructure
fundraising & investment
Faster & more comprehensive data than any other information provider
More asset acquisitions than any other information provider
More LPs committed to funds than any other information provider
ACQUIRE THE KNOWLEDGE YOU NEED ANYWHERE, ANYTIME AND ON ANY DEVICE
✔ Access a continuously growing library of 450+ interactive videos, all made with the
highest-quality production and post-production values
✔ Learn from 90+ industry experts with 1,000+ years combined experience
✔ Earn CPD points as you learn and share your progress on LinkedIn with course completion certificates
✔ Track progress and compare usage across teams with a suite of real-time analytics