Update From Stockopedia3 Dec 2014 13:07
I think the bit that might have ben missed by people is the fact that RAME sell the equity stake to Santander, so if thy go for the 80% t means RAME would to about $5.7m usd bad on the figures from the last deal. They may even do a deal for 90, in which case get even more money, and only have to stump up 10%.. Funding then might not even be needed.
"My personal speculative position is not based on the UK arm which made a loss before tax for 2013 of US$1.5 million against a profit before tax of US$1.05 million in 2012, but on the ambitious growth potential they have in Chile. This may well be just another AIM stock that fails to deliver, but I'm happy personally to take a speculative position on the off chance that they can deliver the 133MW as promised by December 2015. Plenty of unknowns at this stage especially in the funding mix for their 10/20%, which may be from current resources, debt, equity or a mix of all three. For me the key will be how they play it, especially with regards to share issues.
Chile has energy shortages forecast at 8,000MW by 2020, 98% of fossil fuels are imported in Chile. The government with pro renewable legislation have a target of 25% by 2024, therefore for me it's a speculative punt based on the leads they have, agreement with Santadare. I feel the presence of major banks in both the debt and equity roles demonstrates for me personally the quality of the projects and the confidence in Rame to execute.
On completion of the Due Diligence Rame sold 80% stake in the Raki / Huajache wind farm development to Santandare for US$722,000. For the 118MW now under accelerated Due Diligence a stake in the project will be sold to Santander at a price per MW, Rame will then be able to use this stake to carry an interest of between 10-20% (with the exclusive option to reacquire the full 100% based on an agreed formula if they wish).
The equity stake selling price to Santandare per MW is not disclosed, however if they sold equity 15MW at $722,000, based on that proportion as a guess Rame could expect around $5.7m for a 80% stake in 118MW towards their 20% or they may elect to sell up to 90% stake to fund their 10%.
Lest see how 2015 pans out and if they can deliver what they have promised!"
http://www.stockopedia.com/content/rame-energy-new-to-aim-renewable-energy-potential-88125/?comment=3#3
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