Hogan Lovells advises IDB Invest on US$28.1 million bond issuance to finance renewable energy in Uruguay

IDB Invest, a member of the IDB Group, provided a US$28.1 million financing with a 20-year term for the refinancing of the Natelu and Yarnel photovoltaic solar plants in Uruguay. These plants are located in Young, in the department of Río Negro, and Mercedes, in the department of Soriano. The projects are owned by the company Solaria Energia y Medio Ambiente, S.A., a Spanish multinational dedicated to electricity generation based on solar energy.

The US$28.1 million financial package consists of US$2.8 million of IDB Invest’s own resources and the issuance of a B bond in the private market for US$25.3 million, pending to fulfill previous conditions.

The financing structure with B bonds facilitates the development of an alternative financing source through the capital markets. The combination of both types of financing allows IDB Invest to contribute to the mobilization of a larger number of institutional, local and international investors, and also helps to manage a largest amount of resources in the renewable energy sector.

The Hogan Lovells team advising IDB Invest was led by banking partner Ricardo S. Martinez (New York), with key support from international legal adviser Antonio de la Esperanza (Washington D.C.), debt capital markets counsel David Contreiras Tyler (New York), debt capital markets senior associate Philip Schuster (New York), debt capital markets associate Mariana Hernandez (Washington D.C.), and banking associate Christopher Bonilla (New York).

The full press release from IDB Invest can be accessed here.