Narrative
Full Description
Project narrative
In 2023, China Eximbank provided an RMB-denominated loan worth $100 million to China Power International Development Limited for the 216MW Jaguar Solar Power Portfolio Acquisition Project. The borrowing terms of the loan are unknown. The purpose of the project was to facilitate Zuma Energía de México’s acquisition of a majority ownership stake in 216MW Jaguar Solar (Kinich) solar power portfolio from InfraRed and INVEX. Zuma Energía de México is a wholly-owned subsidiary of China’s State Power Investment Corporation (SPIC). The 216MW Jaguar Solar (Kinich) solar power portfolio consists of three solar power parks in the northern state of Chihuahua: the 144MW Ahumadas solar power park in Villa Ahumada, the 35.8MW Rancho el Trece solar power park in Camargo, and the 35.8MW Torreoncitos solar power park in Jiménez. The equity acquisition was completed in December 8, 2023. The remaining minority shareholdings are owned by AINDA, a private equity fund in Mexico.
Staff comments
1. For the time being, AidData has estimated the RMB face value of the loan (RMB 707,740,000) by multiplying 100 million by the 7.0774 (based on the average USD-to-RMB exchange rate of 1 USD to RMB 7.0774 in 2023. This issue warrants further investigation. 2. The financing documents involved PRC, Hong Kong, English and Mexican laws, and adopted an innovative financing model that combines cross-border renminbi transactions with offshore currency swaps. This required a thorough review, amendment and negotiation of the International Swaps and Derivatives Association transaction documents for currency swaps during the project’s preparation phase. 3. This project is also known as the 216MW Kinich Solar Power Plant Acquisition Project. The Chinese project title is Kinich光伏项目. 4. SPIC acquired Zuma Energía in 2020 via China Power International Holding Limited (CPIH), which is a wholly-owned subsidiary of SPIC.