SunEdison and TerraForm Power have secured financing to build five large-scale solar farms in the UK which will generate 85.2 MW of electricity.
Financing for the solar farms has been provided by Santander Global Banking and Markets and Bayerische Landesbank, who acted as arrangers and Santander UK who acted as agent. Santander and Bayerische Landesbank each provided a £35 million (US$53 million) non-recourse bridge loan with a tenor of two years, bringing the total amount financed to £70 million (US$105.8 million).
The projects were previously added to the call right list of TerraForm Power and are expected to be acquired by the company in early 2015.
SunEdison has begun construction on all five sites, and will complete them in the first quarter of 2015.
Jose Perez, President of SunEdison EMEA and Latin America stated:
"We are pleased to partner with Santander and Bayerische Landesbank in this portfolio of projects that will supply the UK market with more renewable energy generation from a competitive and low carbon source."
"Securing funds to meet the capital requirements of these projects is another significant milestone for SunEdison this year and strengthens our position as a key player in the solar energy industry in the UK, where we have interconnected 250MW since 2013."
Carlos Domenech, President and Chief Executive Officer of TerraForm Power, commented:
"As today's announcement demonstrates, TerraForm Power and SunEdison continue to work in tandem to expand our clean energy businesses and bring value to our customers and shareholders."
Alejandro Ciruelos, Head of Acquisition and Project Finance of Santander UK, added:
"We are delighted to continue working with SunEdison in the development of itsUK-based solar portfolio. This transaction enhances our position in this market by supporting the strategy of one of our most important clients in the renewable energy sector."
Alexander von Dobschutz, Bayerische Landesbank's Managing Director, stated:
"We are pleased to have been involved in this successful closing of the large scale UK portfolio of 85.2 megawatts for SunEdison. The UK renewables market continues to be an important strategic market for our international project finance business."