The Global Climate Partnership Fund (GCPF) is further expanding its financing activities in the commercial and industrial (C&I) solar space by providing Bangkok-based Constant Energy Group with a USD 15 m long term senior secured loan. The funding will be deployed in Constant Energy sizeable pipeline of solar energy projects for industrial clients in Thailand and Southeast Asia.
Constant Energy is an independent power producer that develops, builds and owns solar rooftop and ground-mounted projects focusing on delivering energy solutions to C&I customers. The company enters into long-term power purchase agreements with tier one corporates, installing solar systems on their manufacturing sites and industrial facilities. Clients benefit from cost savings versus grid electricity while meeting their carbon emissions reduction and sustainability targets.
Constant Energy is one of Thailand’s leading providers of distributed energy systems with a well-developed project pipeline. Given the increasing power requirements of C&I customers and the high cost-saving potential these solar solutions offer, the market is expected to grow dynamically over the coming years.
Franck Constant, founder and CEO of Constant Energy, said “This flagship transaction is the first project financing of this kind for solar corporate PPA in Thailand. Growing our capital-intensive business model requires strong financing partners. We would like to thank the team at Zurich-based GCPF to have had the vision to join us and make the renewable power industrial revolution happen in Southeast Asia. This long-term senior loan will allow us to finance our current operating project and pipeline for the coming year, creating access to reliable, affordable and clean power for businesses across the region.”
Speaking on behalf of GCPF and responsAbility Antoine Prédour, Head of Climate Finance Initiatives at the Fund’s investment manager responsAbility, added “With their proven track record and established pipeline, Constant Energy is ideally placed to sustainably capture the growing market potential of the region’s C&I solar market. By acting as Constant Energy’s first commercial lender and enabling the company’s further expansion across Southeast Asia, GCPF is actively supporting sustainable economic growth by bringing more renewable power into this fast-developing part of the world.”
Constant Energy was advised by Finergreen as financial advisor and by Hunton & Williams as legal advisor in the transaction.
