Shanghai-based developer Sky Solar Holdings has been granted a RMB10 billion (US$1.5 billion) credit facility from the China Development Bank Corp.
The credit was granted after Sky Solar Holdings signed a Developing & Financing Cooperation Agreement with the Shanghai Branch of CDB.
As one of China’s key financial institutions, CDB will be providing Sky Solar with a full array of financial products and services. These include equity, debts, loans, leasing, bonds and securities.
PV-Tech is told CDB will also provide Sky Solar with priority financing support in relation to project development, project construction and asset management.
Sky Solar said CDB’s financial support will play an important role in the company’s plans to optimize its global PV assets investment return, while reinforcing its industry specializations.
In a statement issued yesterday, Sky Solar said that, together with CDB, both organisations have “created a new strategic cooperative partnership combining national capital with ‘glocal’ downstream development and investment resources, creating a win-win situation that will boost global renewable energy development.”
Commenting on the partnership, Amy Zhang, CEO of Sky Solar Holdings, said: “At the present time, with such complex feelings regarding the PV industry, I’m extremely grateful to China Development Bank’s Shanghai Branch for the trust and support they have given to Sky Solar.”
Zhang added: “Sky Solar has been working with CDB in the project financing areas in the past two years. Signing this agreement symbolizes the beginning of China’s state-owned financial institutions offering credit facilities to downstream independent PV developers, investors and IPP’s.
“Investing in the upstream only creates production, whilst investing in the downstream increases demand for production and creates highly feasible and stable assets therefore driving capacity and ensuring a safer and more innovative use of capital.”