The solid financial results and the attractiveness of sustainable infrastructure project investments enabled the company to obtain new financing
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• The proceeds will be used in financing the construction of two new projects: La Elbita Wind Farm in the Province of Buenos Aires and Tocota III solar photovoltaic project in the Province of San Juan.
• Financing was obtained with a very long-term and highly attractive interest rate of 4.5%.
Buenos Aires, February 9, 2023. Genneia, the leading renewable energy generation company in Argentina, placed Notes for the equivalent amount of USD73 million, thus exceeding the initial target amount of USD60 million and showing once again the market’s confidence in the company. These Notes will be admitted to the panel of Social, Green and Sustainable Bonds (SVS) of ByMA, the local stock exchange on which the main capital market players trade securities, and they constitute the seventh instrument of the company to qualify as green bonds. Hence, Genneia has become the main issuer of this type of financial instruments.
The proceeds will be used to finance the construction of the first stage of La Elbita (103.5MW) Wind Farm in Tandil, Province of Buenos Aires, and the Tocota III Solar Photovoltaic Farm (60MW), in the Province of San Juan. Both projects will produce energy to meet the demand of large industrial users, thus contributing to the challenge of reducing their carbon footprint.
The company carried out a tender process for Notes with the following characteristics:
• Series XXXVIII Dollar-linked Notes for USD73 million were offered at a 4.5% fixed interest rate, payable quarterly, subject to a 120-month maturity period (10 years) and the principal amount repayable in 13 biannual installments starting on the 48th month after issuance.
• Rating by Moody’s Local: AA-.ar with a steady outlook.
Tenders were mostly submitted by private and institutional investors interested in sustainable projects with a positive impact on the environment and that help mitigate climate change. This transaction was coordinated by Banco Macro S.A. as Arranger, while Macro Securities acted as Placement Agent.
In this manner, Genneia sticks to its continued pursuance of leadership. Last year, the company generated 20% of the renewable wind and solar energy in Argentina, hence positioning itself once again as the top-ranked company in the industry, and it is executing a USD350 million investment plan in addition to over USD1.1 billion invested between 2016 and 2021.