Business World of Renewable Energy

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PV Financing: Capcora Supports Obton in Projects in Italy

Frankfurt am Main, Germany - Danish asset manager Obton A/S has secured a mezzanine-type bridge financing of approximately 22 million euros (€m) for a portfolio of existing solar projects in Italy.

The projeckt-portfolio with a total capacity of more than 20 MWp consists of 17 different photovoltaic projects commissioned between 2011 and 2012. . All projects benefit from long-term feed-in tariffs based on different Conto Energia schemes in force at the time. The assets have residual tariffs of 10 to 11 years on a weighted portfolio basis.

The mezzanine interim financing, which was arranged as a short-term facility with a tenor of 18 months was granted by a European debt fund. It is dedicated to finance the acquisition and revamping of the projects. After completion of the technical optimization measures, the project financing will also be restructured.

Capcora, a Frankfurt-based consulting firm specializing in real assets and the procurement of equity, mezzanine and debt capital for energy and infrastructure projects, acted as sole financial advisor and supported Obton in the transaction. On the legal side, Obton was advised by the Danish law firm Kromann Reumert. The investor was supported by Bech Bruun as legal advisor (documentation).

Obton is one of the large and active investors in Italy with a particular focus on the secondary market for PV projects. The company's strategy is to significantly increase its project portfolio, which currently stands at more than 130 MWp, in the coming months and years.

"We still see great potential in the Italian secondary market. The mezzanine facility is of great importance to us and will help us to achieve our growth targets in 2021 much faster“, said Mikkel Berthelsen, Partner and Chief Legal Officer at Obton. „Despite the large number of projects, the transaction was completed in only 8 weeks from the signing of the term sheet due to the good preparation and efficient teamwork," added Alexander Kuhn, Managing Partner at Capcora.

Source: IWR Online, 12 Apr 2021