European renewables investor Cubico Sustainable Investments has raised €85m in debt for financing photovoltaic projects in southern Portugal.
The company has achieved financial closing for the Avalades and Ferreiras solar plants, totalling 22.6MW, in Portugal’s Algarve region.
Both Avalades and Ferreiras receive feed-in tariff subsidy payments.
The total amount of non-recourse project finance debt raised was €65m.
An additional tranche of €20m has been committed for a 6.8MW project, also located in southern Portugal, which Cubico will acquire subject to the fulfilment of a condition.
In September 2018, Cubico acquired three operational PV farms in Portugal, including Avalades and Ferreiras, plus Sol Cativante 5, all totalling 29.4MW from CEF Energia Iberica, a company backed by Glennmont Partners.
Cubico EMEA head David Swindin said: “We are very pleased to have closed this non-recourse financing in Portugal as part of the expansion of our portfolio in the Iberian Peninsula. We look forward to further acquisitions in the coming period”
DekaBank Deutsche Girozentrale acted as sole mandated lead arranger and lender and will also act as agent of the financing.