Mezzanine funding for two Chilean projects

CHILE: Mainstream Renewable Power has secured $50 million in mezzanine finance for two wind farms with a total capacity of 299MW.

by Craig Richard 21 December 2017

The Sarco and Aurora projects will be built towards the north and in central Chile respectively (pic credit: Aela Energía)

The latest financing for the 170MW Sarco and 129MW Aurora projects comes from funds managed by affiliates of investment manager Apollo Global Management.

Both wind farms are currently under construction and are owned by Aela Energía, Mainstream’s joint venture (JV) with UK investors Actis.

Sarco, situated in the Atacama region towards the north of the country, will comprise 50 of Senvion’s 3.4M114 turbines, while Aurora in Los Lagos farther south, will feature 43 of the 3.0M122 model.

Various banking groups, including the Inter-American Development Bank, Mitsubishi UFJ Financial Group, Sumitomo Mitsui Banking Corporation, the Korean development Bank and Spanish group Caxia had pledged $410 million to bring the Sarco and Aurora sites to financial close in August.

Both projects are due to be completed in the second half of 2018.