Narrative
Full Description
Project narrative
On March 27, 2023, financial close was reached on a deal in which a syndicate of nine banks — including the Bank of China (BOC) and the Industrial and Commercial Bank of China (ICBC) — entered into a $1.1399 billion AUD ($758.05 million USD) syndicated loan agreement with Intera Fin Co Pty Ltd — an Australia-incorporated special purpose vehicle (SPV) affiliated with Australia-based renewable energy platform Intera Renewables, which is jointly owned by Palisade Renewable Energy Fund (PREF), which is managed by Australia-based Palisade Investment Partners (49.9% equity stake), Australian superannuation fund Aware Super Pty Ltd (20.2% equity stake), Health Employees Superannuation Trust Australia (HESTA Super Fund) (20.2% equity stake), Palisade Diversified Infrastructure Fund (PDIF) (6.5% equity stake), and Australian Government-owned Clean Energy Finance Corporation (CEFC) (3.1% equity stake) — for the Intera Renewables 1.0445 GW Wind and Solar Portfolio Refinancing Project. This loan was divided into five tranches: a $156.99 million AUD green loan tranche with a maturity period of six years and nine months (6.75 years) and a final maturity date of December 31, 2029; a $627.95 million AUD ($417.59 million USD) green loan tranche with a maturity period of four years and nine months (4.75 years) and a final maturity date of December 31, 2027; a $250.00 million AUD ($166.25 million USD) green loan tranche with a maturity period of two years and nine months (2.75 years) and a final maturity date of December 31, 2025; a $74.96 million AUD ($49.85 million USD) revolving credit facility tranche with a maturity period of four years and nine months (4.75 years) and a final maturity date of December 31, 2027; and a $30.00 million AUD ($19.95 million USD) working capital tranche with a maturity period of four years and nine months and a final maturity date of December 31, 2027. This loan was an example of limited recourse financing; this loan was secured by (i.e. collateralized against) a full security over the portfolio assets. The proceeds were to be used by the borrower to refinance its wind and solar portfolio, repaying all existing individually-financed asset-level project finance debt and consolidating the debt with Intera Renewables, which was newly created for this purpose. Intera Renewables' wind and solar portfolio that was refinanced by this loan consisted of five operational renewable energy assets, four wind and one solar, in Australia with a combined capacity of 1.0445 GW. The portfolio consisted of a 100% stake in the 94.5 MW Hallett 1 Wind Farm in South Australia, a 100% stake in the 270 MW Snowtown 2 Wind Farm in South Australia, a 50.20% stake in the 112 MW Granville Harbour Wind Farm in Tasmania, a 25.10% stake in the 420 MW Macarthur Wind Farm in Victoria, and a 100% stake in the 148 MW Ross River Solar Farm in Queensland. BOC contributed $10.47 million AUD ($6.96 million USD) and ICBC contributed $17.20 million AUD ($11.44 million USD) to the $156.99 million AUD green loan tranche. Record ID#101243 captures BOC's contribution. Record ID#101244 captures ICBC's contribution. In addition to BOC and ICBC, the following lenders contributed the respective amounts to the loan syndicate: Australia and New Zealand Banking Group (ANZ) ($16.34 million AUD; $10.87 million USD), Commonwealth Bank of Australia (CBA) ($26.90 million AUD; $17.89 million USD), ING Bank (Australia) Limited ($21.74 million AUD; $14.46 million USD), Mizuho Bank ($17.20 million AUD), Sumitomo Mitsui Banking Corporation (SMBC) ($11.63 million AUD; $7.73 million USD), and Westpac Banking Corporation ($35.50 million AUD; $23.61 million USD). BOC contributed $41.89 million AUD ($27.86 million USD) and ICBC contributed $68.81 million AUD ($45.76 million USD) to the $627.95 million AUD green loan tranche. Record ID#101245 captures BOC's contribution. Record ID#101246 captures ICBC's contribution. In addition to BOC and ICBC, the following lenders contributed the respective amounts to the loan syndicate: ANZ ($65.37 million AUD; $43.47 million USD), CBA ($107.60 million AUD; $71.56 million USD), ING ($86.96 million AUD; $57.83 million USD), Mizuho ($68.81 million AUD), SMBC ($46.51 million AUD; $30.93 million USD), and Westpac ($142.00 million AUD; $94.43 million USD). Neither BOC nor ICBC contributed to the $250 million AUD green tranche, was provided by Mizuho ($50.00 million AUD; $33.25 million USD) and MUFG Bank, Ltd. ($200.00 million AUD; $133.00 million USD). Neither BOC nor ICBC contributed to the $74.96 million AUD revolving credit facility tranche, which was provided by CBA ($45.26 million AUD; $30.10 million USD), SMBC ($20.00 million AUD; $13.30 million USD), and Westpac ($9.69 million AUD; $6.45 million USD). MUFG served as administrative agent