SUNfarming Polska IPP Completes Project Financing of USD54.8 Million for Solar Projects in Poland

Deal In Brief

HANSAINVEST Real Assets and SUNfarming Group extend their existing cooperation by another country. Based on a framework agreement, HANSAINVEST Real Assets provides mezzanine financing of EUR 50 million for 231 Polish photovoltaic projects with a volume of approx. 257 MWp. A first tranche of EUR 12 million will be used to refinance a portfolio of 50 solar plants with 48 MWp. The funds will flow via a subordinated loan to the group company SUNfarming Polska IPP GmbH & Co. KG (SUN IPP), which bundles SUNfarming's operating projects under one roof and was established specifically for the partnership. Capcora acted as exclusive financial advisor to SUNfarming in the transaction. Financial close took place at the end of December 2022

The mezzanine financing was issued in euros and has a tenor of 20 years. As the projects will be remunerated in Polish zloty, an adequate currency hedge was the focus of the structuring. Together with specialists, a robust solution was devised that enabled the asset manager HANSAINVEST Real Assets to finance the transaction with a low-risk premium despite the currency mismatch in the cash flow profile

SUNfarming, the owner-managed company based in Erkner near Berlin, will use the financial resources for the development of further solar parks

HANSAINVEST Real Assets was supported in this transaction by Dentons, Baker Tilly and renerco plan consult. On the side of SUNfarming Group, Bird&Bird and Rodl&Partner acted as legal advisors and Capcora as exclusively mandated financial advisor.

Deal Value (US$ Million)	54.84
Deal Type	Acquisition
Sub-Category	Asset Purchase
Deal Status	Completed: 2023-02-03

Deal Participants

Deal Rationale

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