Aquila European Renewables Income acquires new solar asset – Aquila European Renewables Income (AERI) has entered into a sale and purchase agreement to acquire a 30 MWp operating solar PV asset called Tiza for an undisclosed amount expected to close by Q3 2022.
Tiza is located in the Almería region, in the south of Spain, which benefits from attractive solar irradiation yields. The asset has an assumed operating life of 30 years. Construction was recently completed and Tiza has already commenced producing electricity and generating revenue, taking advantage of current high power prices observed in Iberia.
Combined with the recent announcement of the Project Greco acquisition, Tiza will increase AERI’s total solar PV portfolio generation capacity to 230 MWp and increase the solar PV allocation to approximately 50% by fair value, with the remainder being allocated to wind and hydro technologies.
AERI expects to fund the transaction using its current surplus liquidity, which is approximately EUR 130m. comprising existing cash on hand (approximately EUR 90m) plus the existing revolving credit facility (EUR 40m), which is currently undrawn and matures in April 2023.
Closing is subject to Provisional Acceptance of the plant (as per the existing engineering, procurement and construction contract), RCF lender consent, signing of a Power Purchase Agreement and other conditions, which are expected to be satisfied by Q3 2022.
Ian Nolan, chairman of AERI, said: “We are pleased to have committed over EUR 120m in capital in relation to both Greco and Tiza following the successful capital raising last year. We look forward to securing a PPA and a successful closing of the transaction.”
AERI : Aquila European Renewables Income acquires new solar asset