January 21 (Renewables Now) - A special purpose company that owns the 300-MW Talasol solar farm in Spain has closed the refinancing to replace the original EUR-121-million loan, its leading shareholder announced.
Talasol Solar SL, an entity 51% owned by Israeli renewables developer Ellomay Capital Ltd (TASE:ELLO), secured new financing totalling EUR 175 million (USD 198.7m) in two tranches from a group of European institutional lenders.
The solar farm owner was granted one term loan in the amount of EUR 155 million for 22 and a half years, and another term loan of EUR 20 million for 21 years, Ellomay said. The fixed annual interest rate is set at a weighted average of around 3%.
The weighted average life of Talasol’s financing is now extended to around 11 and a half years from five and a half years under previous financing terms, as agreed with the banks back in December.
Talasol Solar SL will use the fresh funds to repay the original project finance and meet other needs including paying its shareholders “an expected special dividend”, according to Ellomay.
(EUR 1.0 = USD 1.135)