A Chinese state-owned firm has completed the
country’s first investment into the Irish power
market with the acquisition of a portfolio of 14 wind farms.
The acquisition by China General Nuclear Power (CGN) was
complicated by a highly leveraged structure where all except
one of the wind farms had project financing in place already,
with mezzanine debt on top.
The farms are in both Northern and the Republic of
IrelandTo complete the €500 million ($536
million) deal the mezzanine debt, which was provided by a
different lender to those on the project financing, was paid
off in full. The project financing remains in place.
"It wasn’t necessarily straightforward, but it
was the best way to do it as the mezzanine lenders were happy
to exit," explained Jason Lovell, partner in
Eversheds’ corporate and energy practice who
advised CGN. "By dealing with...