(Alliance News) - Aquila European Renewables PLC on Monday said it has agreed an EUR50 million five-year debt facility with ING Bank NV.
The London-based closed-ended investment company focused on energy efficiency projects said it will use the debt facility to repay its revolving credit facility of EUR70 million.
It noted that its revolving credit facility has a drawdown limit of EUR100 million, which it says provides it with "significant flexibility" going forward.
The facility is secured by its wholly-owned Spanish solar photovoltaic portfolio, which includes 180 megawatt peak of operating assets supported by long-term power purchase agreements.
Aquila added that the debt facility has an accordion option of EUR18 million, as well as two 12-month extension options
It noted that the debt financing is part of its programme of value recognition of its portfolio.
Chair Ian Nolan said: "We are pleased to have secured the debt financing at such attractive terms, fulfilling one of the key initiatives announced in May 2023 prior to the company's inaugural continuation vote. We are working with our advisers to evaluate how the incremental capital can be most appropriately allocated for the benefit of shareholders."
Aquila shares were untraded at 70.0 pence each on Monday morning in London.
By Harvey Dorset, Alliance News reporter
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Aquila Euro. (AERI)