SUNfarming specialises in developing solar for capital investors in Germany and elsewhere (Credit: SUNfarming)
German IPP SUNfarming has secured €23 million (US$25.67 million) of debt for a portfolio of 85 solar plants throughout the country.
The subordinated loan from investment manager Hansainvest Real Assets will support 116MW worth of PV across the states of Mecklenburg-West Pomerania, Brandenburg, Saxony, Saxony-Anhalt and Thuringia.
The 20-year loan is structured as a mezzanine facility, a hybrid type of financing that allows for debt-to-equity conversion under certain circumstances. The funding may be used to develop entirely new projects, Hansainvest explained in a statement.
Christoph von Geldern, who oversees Hansainvest’s infrastructure portfolio, said the solar plants feature “extremely lean” cost structures that will generate “plannable” cash flows.
“The low volatility of electricity production with PV plants as well as the fixed, state-guaranteed feed-in tariffs over 20 years ensure that forecasts may be made with a high degree of reliability,” von Geldern added.
Hansainvest – which last year backed German IPP FEH with a €30 million (US$33.49 million) loan – explained it will consider further solar investments in Germany but also elsewhere in Europe and Africa.
The deals mark a funding boost for SUNfarming, which since foundation has installed a 500MW portfolio and serviced a further 280MW deployed by others. The firm, headquartered just outside Berlin, specialises in developments for capital investors and is also active in the residential PV segment.
PV Tech is hosting a TechTalk Product Series webinar with LONGi Solar to help PV project developers, asset owners and interested parties become aware of the latest in utility-scale PV panel technology, performance and size that is redefining LCOE metrics.
The UK and Ireland markets are seeing multi-GW of pipelines being planned for new utility-scale solar and energy storage during the next few years. These complementary sectors are starting to form new built portfolios for some of the leading global developers and long-term owners. This webinar - featuring presentations from Finlay Colville and Lauren Cook - will explain what is driving the uptick in new project planning, a breakdown of the pipelines by pre-build status, and which companies are behind the new projects.
PV Tech is hosting a TechTalk Product Series webinar with Huayu New Energy to help installers, PV project developers, asset owners and interested parties to increase their understanding of the HY-2000-Plus microinverter and its ability to meet the need for more cost effective inverter solutions that deliver higher performance and safety.
The business of solar is changing, as the industry scales up, technology, IT and new players to the market will add complexity. This sparks a host of opportunities such as co-location of solar and storage and the rise of unsubsidised solar projects as well as challenges which will question the very business model of European solar asset owners. Solar Finance & Investment Europe is the meeting place for institutional investors, sovereign wealth funds, solar, wind and storage funds and large energy buyers to do business.
Understand fully the technical and logistical supply chains that determine the production and performance of solar modules, including all related factors impacting quality, reliability & bankability.