Grupo T-Solar Issues €567.8 Million Green Financing

Grupo T-Solar, a leading Spanish independent renewable power producer, asset manager and a portfolio company of I Squared Capital, has completed one of the largest financings of the renewable energy market worth €567.8 million, including a €34 million senior secured class A1 bonds, €234.1 million senior secured class A2 bonds both due June 2038 and a 10-year €299.7 million bank loan. The proceeds will be used to refinance 23 photovoltaic solar projects with a combined installed capacity of 127 megawatts across Spain owned by T-Solar Global Operating Assets, an affiliate of Grupo T-Solar.

Grupo T-Solar, a leading Spanish independent renewable power producer, asset manager and a portfolio company of I Squared Capital, has completed one of the largest financings of the renewable energy market worth €567.8 million, including a €34 million senior secured class A1 bonds, €234.1 million senior secured class A2 bonds both due June 2038 and a 10-year €299.7 million bank loan.

The proceeds will be used to refinance 23 photovoltaic solar projects with a combined installed capacity of 127 megawatts across Spain owned by T-Solar Global Operating Assets, an affiliate of Grupo T-Solar. The assets operate under the Spanish regulatory framework with a regulated return granted for 30 years.

This is Grupo T-Solar’s first financing to obtain a Green Evaluation by Standard and Poor’s, achieving a very strong E1/80 score—the highest granted by the agency—due to the transaction’s robust environmental impact mitigation, governance and transparency.

Grupo T-Solar’s Chief Executive Officer, Marta Martinez, commented on the market response: “We have seen very strong interest in our first green financing among leading banks and institutional investors. This transaction enables investors that share our vision of a more sustainable future to partner with T-Solar in reducing carbon emissions for future generations.”

Deutsche Bank and Banco Santander acted as Mandated Lead Arrangers and Global Coordinators of the issuance.

Grupo T-Solar is a leading independent renewable power producer and asset manager that owns 336 megawatts of installed capacity and operates 51 renewable power plants in Spain, Italy, Peru and India that generated over 602 gigawatt-hours of clean electricity in 2019 and avoided over 216,000 tons of CO2 emissions.

The company has a strong track record in the development and construction of solar farms. Following acquisition by global infrastructure investment manager I Squared Capital in 2017, Grupo T-Solar is focusing on the European market with 92 percent of its assets in Spain and Italy. Including recent divestments in Japan and the U.S., the company has managed over €1.9 billion in environmentally friendly and regulated assets.