Business World of Renewable Energy

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PV Financing: Alta Capital Secures Funds for Development of 840 MWp Pipeline in I

Frankfurt am Main, Germany - Alta Capital Limited (Alta Capital) has successfully completetd its third round of fundraising through a convertible bond issue from its wholly owned Italian holding company.

The funds are earmarked for the development of a a pipeline of merchant solar PV projects with a capacity of 840 MWp in Italy currently due to be constructed in 2021 and 2022. The pipeline consists of 9 projects with capacity ranging from 10 MWp to 200 MWp. A majority of the sites are located in Sicily, thus benefiting from the best solar radiation in the country.

The unlisted bonds were fully subscribed by a European debt fund. The debt financing facility was structured as a convertible bond with multiple tranches and a fixed coupon. The innovative financing structure allows Alta Capital to externally finance the development milestones while not diluting its shares in the pipeline.

Capcora, a Frankfurt-based consulting firm specialized in real assets and raising equity, mezzanine and debt capital for energy and infrastructure projects, acted as financial advisor to Alta Capital and was responsible for sourcing the investors and structuring the deal. Alta Capital was advised by Eversheds as legal advisor (due diligence and documentation), and the investor was advised by Orrick as legal advisor

“This transaction is certainly one of the first of its kind in the rising Italian merchant PV market. Often only equity or joint venture structures are available for greenfield projects due to the related projects risks. We are glad that we could source an alternative financing route for Alta Capital and achieved closing on a complex transaction format including a cross-border element and large size project volume”, said Alexander Kuhn, Managing Partner at Capcora.

Alta Capital was established in 2019 by two successful solar investors with the goal of building a substantial international portfolio of renewable energy projects to accelerate development towards an economically and commercially sustainable carbon-free future. Alta Capital's management team has more than 80 years of experience in the energy sector and includes entrepreneurs and seasoned blue-chip executives previously leading major Energy and Utility companies.

Source: IWR Online, 22 Jan 2021