Brite Energy Partners (BEP) announced on the 4th that it has completed project financing (PF) worth 76 billion won through its 46-megawatt (㎿) solar power asset.
This loan was based on direct power purchase agreements (PPA) made with domestic corporations that declared RE100 (100% renewable energy use). The underlying assets consist of a portfolio of small solar power plants totaling 46㎿ owned by BEP, which are distributed across the country excluding Jeju Island.
The power subject to the contract will all be produced at the solar power plants directly owned and operated by BEP, and all plants are expected to enter commercial operation within this year. Financial brokerage and advisory for this PF were handled by Shinhan Bank, and the loan matures in 18 years.
Last year, BEP also completed the procurement of senior loans worth 101.9 billion won for solar power assets from KDB Industrial Bank and Woori Bank. At that time, the state-run KDB Industrial Bank executed a loan of 56.9 billion won to BEP, ensuring the stability of the PF project.
Yoo Joo-young, head of the financial investment division at BEP, said, "BEP has succeeded in raising funds for two consecutive years based on a portfolio of small solar power plants, proving its expertise in operation and structuring of solar power plants," adding, "With a strong portfolio and solid market trust, we have successfully secured large-scale funding from domestic major banks and insurance companies."
Kim Hee-seong, CEO of BEP, noted, "Although the volatility in the domestic and international financial markets is high, the interest and collaboration requests from financial institutions continue, so we are planning larger-scale PF projects in the future."