July 2013 - Landmark PPP Project in Mexico Reaches Financial Close

Astris Finance is pleased to announce the successful financial closing of the Mx$ 2,150 mm (USD 165 mm) Audi Platform project.

Watch the Project's video on YouTube at: http://www.youtube.com/watch?gl=US&client=mv-google&hl=en&v=a97mSYtCHR4&nomobile=1

The Project is developed by Mexican contractor Codesa under a new PPP framework in the State of Puebla, Mexico. The Project consists in delivering the necessary infrastructure upon which Audi´s new manufacturing plant will be built. The manufacturing plant is located in San Jose Chiapa, Puebla and will be responsible for worldwide production for the next Audi Q5 in 2016. Annual capacity is projected to reach 150,000 units. This is one of the most visible, strategic foreign direct investments in the auto manufacturing sector in the Latin America region.

The Project was awarded to CODESA by the State of Puebla. It was a structured as a public works contract under a PPP scheme called “Proyectos de Inversión” (Investment Projects). Under this scheme, CODESA is responsible for building the Project to meet Audi´s standards and raising the appropriate financing. During the construction period, the State of Puebla will issue acceptance certificates (“Certificados de Aceptacion Definitiva” or “CAD”) to CODESA as the works are completed. Each CAD represents an irrevocable and unconditional obligation from the State of Puebla to pay the amounts there included.  The Project is the first to be structured under the Investment Projects scheme. It is expected that it will be used for various infrastructure projects during the coming years in Puebla.

Astris Finance acted as mandated financial advisor to CODESA leading the structuring, negotiating, placement, and due diligence process. The financing takes the form of a senior non-recourse 15-year facility provided by Banco Interacciones and backed by the CADs. This facility is complemented by a Mx$260 mm (USD 20 mm) VAT facility.  One salient aspect of our mandate was the structuring and negotiation of an enhancement mechanism under which The State agreed to pledge remnants from its federal transfers to further increase the creditworthiness of the structure.

March 2013 - Astris Deal Receives Euromoney Deal of the Year 2012 Award

USD 200 m CEVASEP I & II Prison PPP Project was awarded this year’s award in light of its innovative contractual and financing structure, making it one of the very first state-level PPP’s in Mexico. 

NY, March 7, 2013 – Astris joined clients Indi and Idinsa of Mexico to receive the Latin American Social Infrastructure Deal of the Year Award granted by Project Finance Magazine. The USD 200 m CEVASEP I & II Project was awarded this year’s premium in light of its innovative contractual and financing structure, making it one of the very first state-level PPP’s in Mexico. 

Fabrice Henry, Managing Director, and Juan Francisco Toro, Director and Deal Team Leader, represented Astris at the award ceremony which took place at Cipriani’s and gathered the most active sponsors, financiers and advisors in the North American and Latin American markets.

January 2013 - Gestamp & Solarpack PV Projects in Peru Close

Astris Finance is pleased to announce the successful financial closing of a non-recourse term facility for the 22 MWp PV Plant in Tacna and a 21 MWp PV Plant in Panamericana, close to the city of Arequipa in Southern Peru.

The Project will benefit from long-term Power Purchase Agreements, which have been allocated through a public tender process by the State of Peru in 2010. The Project is the second large-scale project-financed PV project in Latin America (after Spanish developer T Solar’s Majes and Repartición projects, also in Peru), and the first using crystalline silicon panels mounted on single-axis trackers. Astris advised on both financings.

Astris Finance acted as Financial Advisor to Solarpack and Gestamp Renewables throughout the structuring, placement, due diligence, documentation and closing of the Project equity and non-recourse project finance debt. OPIC is providing non-recourse financing for a total amount of c. USD 180 million for 18.5 years, funded through the placement in the US capital markets of certificates of participation guaranteed by the full credit of OPIC. The Project is also financed through equity provided by Solarpack, Gestamp, and by a regional spezialized fund.

The financing structure of the Project has been tailor-made to mitigate the impact of some specific aspects of Peruvian renewable energy PPAs on Project cash-flows. Despite difficult market conditions, the Project has been able to reach financial close by benefiting from the high liquidity of the US capital market and from OPIC support.

This Project is the 6th financial closing in 2012 by Astris Finance in Latin America. It marks a very successful year for Astris Finance, which has advised on a wide range of projects in Latin America including renewable energy, conventional power, accommodation PFIs and transportation infrastructure.

October 2012 - Official Inauguration by President of Peru of T Solar PV Projects

President Ollanta Humala of Peru inaugurated the Majes and Repartición solar photovoltaic power plants, which in August became the first utility scale solar PV plants connected to a national grid in Latin America. Financing for the two projects was arranged by Astris Finance.

President Ollanta Humala of Peru inaugurated the Majes and Repartición solar photovoltaic power plants, which in August became the first utility scale solar PV plants connected to a national grid in Latin America. The plants installed capacity of 44 MW is sufficient to power over 20,000 households. The plants consist of 113,600 thin-film amorphous hydrogenated-silicon modules deployed over 206 hectares of land – or about 300 soccer fields! The Arequipa region in southern Peru has one of the highest levels of solar irradiation on earth. The project was developed and is owned by T Solar, one of the leading independent solar power producers worldwide. For the past two years, Astris Finance has been positioning itself as a leading transaction advisor in the Latin American renewable energy sector, with mandates in excess of 400 MW of solar power in execution

June 2012 - Jamaican IPP Advised by Astris Finance Reaches Financial Close

Astris Finance is pleased to announce the signing of the non‐recourse refinancing of Jamaica Private Power Company Limited - a 61MW, heavy fuel oil fired baseload generation facility in Kingston, Jamaica, majority-owned by AEI.

The financing consists of a 5-year USD term facility and, notably, a 5-year Jamaican dollar working capital revolver (sized in USD) with an annual paydown provision. RBC Merchant Bank (Caribbean) acted as Arranger with the participation of RBC Royal Bank (Jamaica) and RBC Royal Bank (Trinidad & Tobago).

Astris Finance acted as Financial Advisor to JPPC through the initial market sounding, structuring & modeling, marketing, negotiations, due diligence and documentation phases of the transaction.

The Astris Finance team was led by Senake Gajamera, Director, who stated: “We are pleased to have assisted JPPC and its strong sponsors, AEI and Inkia Energy achieve attractive terms and reach this important milestone in a benchmark IPP refinancing transaction for both Jamaica and the region.”

April 2012 - Sponsor Advised by Astris Closes Second Financing in Panama in a Row

Astris Finance is pleased to announce the successful closing of a USD 782m non‐recourse term financing facility for the Balboa Avenue Improvement Project developed by Construtora Norberto Odebrecht. This is the second project closed in Panama by Odebrecht, following the financing of the USD 176m Panama City Historic Heritage Preservation Project in November 2011.

The USD 782 m Project is part of the USD 1.5 billion Panama City Road Network Improvement Program and was awarded to CNO pursuant to an international public bidding contest in March 2011.

The financing takes the form of a 4 year revolving receivable purchase agreement (the “Purchase Agreement”) to buy up to USD 567 million of promissory notes from the Republic of Panama known as Cuentas de Pago Parcial (“CPPs”). The CPP structure has been successfully used in the past in Panama for the financing of several projects. CPPs represent an irrevocable and unconditional payment obligation from the Republic of Panama, and are progressively delivered by the Government as construction milestones are achieved. The Purchase Agreement was arranged by Bank of Tokyo‐Mitsubishi and Sumitomo Mitsui Banking Corporation acting as MLAs, with the participation of Bank of Nova Scotia Panama as Arranger and Administrative Agent.

Astris Finance acted as Financial Advisor to CNO throughout the bidding, structuring, placement, due diligence and closing of the Facility. Astris Finance also advised CNO in the structuring of the interest rate hedging strategy, which consists of a string of forward‐starting USD zero coupon swaps. The Project is the second project of the Panama City Road Network Improvement Program to reach financial close. In November 2011, CNO closed the financing of the USD 176 million Panama City Historic Heritage Preservation Project, also with Astris’s advisory assistance.

The Astris Finance team was led by Director Juan Francisco Toro, who said, “We are delighted to close such an important and large financing in Panama. There are a number of unique aspects to this financing, including fully mitigating construction risk through the CPP structure. The ability to close such a sizeable financing in the current market environment speaks to the determination and hard work of all parties involved.”

December 2011 - Solar Project Developers Advised by Astris Complete the Sale of 3 PV Parks in France

Astris managed to complete the divestment of the three assets in adverse market conditions and in an overall extremely challenging context linked to the recent regulatory changes affecting renewable energy projects and solar installations in particular. 

Astris is pleased to announce the acquisition by a German retail fund of 3 PV Parks located in mainland France and Corsica, with an aggregate capacity of 6.5MW. 

Astris Finance advised Eco Delta and Duransol throughout the divestment process of the three parks sold upon technical completion. Astris Finance will remain involved as Financial Advisor to the Buyer in connection with the structuring and placement of the long term debt the Buyer intends to secure from commercial banks. 

Astris Finance is a leading provider of financial and transaction advisory services to solar project developers. Astris Finance advises on a pipeline of solar deals representing more than US$ 500m of investment. Astris's current mandates include acquisition buy- and sell-side advisory, as well as financial advisory in connection with non-recourse project finance debt structuring and placement.

For more information on Astris's recent activity in the sector in France, please click on the link on the left. 

March 2011 - USD 950m Astris-Advised PPP Bids Granted Preferred Bidder Status

Astris Finance is pleased to announce that Construtora Noberto Odebrecht, the construction arm of leading Brazilian developer Odebrecht, was appointed preferred bidder in connection with two construction projects to be developed under a PPP framework with the Government of Panama. Astris acted as bid stage advisor to Odebrecht.

The two projects, known as the Balboa Project and the Centro Histórico Project, total USD 950 m in investment. They are part of a five-project package known as the Panama City Urban Road Rehabilitation and Improvement Program. Odebrecht won two of the five projects, including the largest one, the Balboa Project which exceed USD 700 m in investment. Astris Finance advised Odebrecht in connection with all five bids.

The contractual structure entails the financing, construction and maintenance of the works by the contractor, in exchange for the issuance by the Government of works certificates giving rise to a multi-annual stream of payments. The financing structure designed by Astris consists in the securitization of the works certificates through a true sale to a pool of banks. The financing comes with a complex swap structure designed to remove the interest risk from the transaction and minimize the negative carry.

Final adjudication is expected before the end of March and Astris targets financial close for Q3/2011.

February 2011 - Astris Closed a USD 285m Financing Package for Highway 2000 in Jamaica

Astris acted as mandated Financial Advisor to French construction majors Bouygues Travaux Publics and Vinci in connection with one of the largest and longest financings ever raised for a toll road project in the Caribbean region

Astris Finance is pleased to announce the successful closing of a USD285 m financing package for Transjamaican Highway Limited (“the Project Company”), a Jamaican project company co-owned by French infrastructure majors Bouygues Travaux Publics and Vinci (together, “the Project Sponsors”). TJH operates the Highway 2000 toll road in Jamaica, an essential segment of the country’s road infrastructure, linking the capital Kingston to the Western regions of Sandy Bay and May Pen (“the Project”). The Project is undertaken under a concession contract between TJH and the National Road Operating and Constructing Company (NROCC), a Jamaican state agency. The concession contract was awarded in 2001 following an international bidding contest, and expires in 2036. The first section of the road, known as Phase 1A, opened to traffic in 2003.

The financing takes the form of an 18-year amortizing, limited recourse loan underwritten by a syndicate of multilateral and bilateral agencies including the European Investment Bank (EIB); the Inter-American Development Bank (IDB); the International Finance Corporation (IFC), a member of the World Bank group; and Société de Promotion et de Participation pour la Coopération Economique (Proparco), a member of the Agence Française de Développement group. Participations in the syndicate are as follows: EIB (27%), IDB (27%), IFC (27%), Proparco (19%). The financing package also includes a fresh capital injection of USD 7m from IFC and Proparco.

Proceeds of the financing will be used to refinance the bond issued in 2001 to finance Phase 1A, partly maturing in February 2011, as well as to finance the expansion of the Project towards the city of May Pen, with the construction of an additional 10km 2x2-lane segment known as Phase 1B. Construction works are expected to last 19 months, with Phase 1B due to open to traffic in September 2012. Construction works are carried out by Bouygues Travaux Publics’ local branch, Bouygues TP Jamaica. The road is operated by Jamaican Infrastructure Operator, a joint venture between Vinci and Bouygues Travaux Publics.

Astris Finance acted as exclusive Financial Advisor to the Project Company, and assisted the Project Sponsors throughout the structuring, placement, due-diligence and closing processes for both the debt and equity financing. Astris Finance also led the restructuring of the original participation of NROCC in TJH to permit the entry of new shareholders in the capital of the Project Company.

The financing package enabled TJH to refinance 100% of its existing debt at unparalleled conditions. Furthermore, TJH is now able to pursue the expansion of the Project with the construction of Phase 1B, an integral part of the Government’s plans for the development of essential infrastructure to foster growth and generate employment in a country severely impacted by the financial crisis since 2008.

Jamaica was hit particularly hard by the global credit and macroeconomic crisis. The Jamaican Government launched a restructuring of its sovereign debt after agreeing to enter into a Stand-By Arrangement with the International Monetary Fund in late 2009. This context made it all the more challenging to secure financing for a private project of that scale with traffic risk, at a time when most traditional sources of funding were severely restricted or virtually shut off.

Fabrice Henry, Managing Director at Astris Finance notes: “This financing was of critical importance to our clients, considering the bond refinancing deadline. Conducting the structuring and placement of this financing, and supporting the Sponsors in negotiations with the Government of Jamaica for the restructuring of NROCC’s participation in THJ, proved to be a lengthy and complex undertaking. The financing itself presented multiple challenges, most notably the management of traffic risk during project construction – as a sizeable share of the USD 285m financing plan would be derived from the operation of Phase 1A. The innovative structuring of contingent liquidity lines made the lenders comfortable with the traffic risk during construction, while preserving the limited recourse nature of the deal.”

John Graham, IDB’s senior investment officer in charge of the deal at the IDB, explained: “We called upon the long-term appetite of the EIB, IFC, Proparco and the IDB, and worked with Astris and the Sponsors to integrate a number of features from the world of commercial banking including step-up pricing, cash sweeps and mandatory prepayments if cash is available. The end result gives TJH maximum flexibility during the initial years of the financing but also includes the proper incentives to return to the private capital markets when construction is complete and market conditions are more favorable.”

Franck Peyron, CEO of TJH, added: “We are extremely satisfied with the outcome. This extraordinary achievement is the result of a lot of team work between the lenders, the Government, the Sponsors, Astris and TJH. In particular, this financing would not have been possible without the professionalism and flexibility of the NROCC team. Their active participation was critical to arriving at a structure that was workable for all parties.”

For Fabrice Henry, “this project demonstrates exactly what Astris Finance has to offer: tailor-made, optimized financing solutions for the most complex infrastructure projects in emerging markets.” Following the successful financial closing of the Boulevard Turístico Atlántico (BTA) Toll Road in the Dominican Republic in 2010, the Transjamaican Highway Ltd financing is the second toll road deal in the Caribbean that Astris Finance has closed in the past 12 months.

November 2010 - Astris Closes the Second Largest PV Plant in France

Astris Finance positions itself as a leading source of financial advisory services to project developers and financial investors in the renewable energy sector in Western Europe and Emerging  Markets.

Astris Finance, the infrastructure and energy focused investment banking firm, announced today that the Les Mées photovoltaic (PV) project has reached financial close. The 30 MWp project raised € 110 million in debt and equity . The project is developed by Eco Delta, an independent French renewable energy development company, with Sumitomo Corporation acting as co-investor in the project company, with a minority stake. The second largest PV plant ever financed in France, the project is located in Southeastern France. It will be built and maintained by Siemens T&D, and operated by Eco Delta.

“We are honored to assemble such a prestigious set of partners, Sumitomo Corporation as equity partner, BNP Paribas as debt provider, and Siemens T&D for the construction and maintenance,” said Ronald Knoche, CEO of Eco Delta. “We are also very pleased with what Astris Finance, acting through its French affiliate Aurion, achieved as our financial advisor leading the project structuring, the equity placement and the senior debt arrangement.”

Philippe Ducos, the Astris managing director in charge of the deal, said: “This project constitutes a landmark transaction in the European PV market, achieving the most competitive terms and conditions for a large-scale non-recourse PV financing since the start of the credit crisis. We were able to place the equity with a first-tier industrial sponsor and secure a fully-underwritten 19-year senior debt financing in a tight timeframe, thanks to an outstanding development by Eco Delta, a tight project structure, the selection of first-tier project counterparties, and the attractive framework for PV projects in France.”

Project construction is expected to start in a few days and be completed by August 2011.

February 2010 - BTA Toll Road Reaches Financial Close

Astris Finance helps local and Colombian Sponsors channel more than USD 150m of limited recourse project debt to finance the extension of Autopista del Nordeste in the Dominican Republic. BTA is the second road concession in the Country that reaches financial close: Astris Finance was Financial Advisor on both projects.

Boulevard Turistico del Atlántico C. por A. reached closing in connection with the US$151mm long-term financing of the 123 km toll road on the Dominican Republic’s Samaná peninsula. BTA was advised by Astris Finance LLC (www.astrisfinance.com).

Boulevard Turistico del Atlántico C. por A. (“BTA” or “the Company”) is a project company established by a group of local and regional sponsors, led by Grupo Odinsa, the number one toll road operator in Colombia, to finance the rehabilitation of 99 km of existing road (Nagua-Sánchez-Samaná-El Limón-Las Terrenas), construct 24 km of new road (from Las Terrenas to Majagual - close to the El Catey international Airport), and operate and maintain the toll road for a period of 28 years (“the Project”). BTA will enhance intra-peninsular travel as well as improve connectivity to Nagua and the El Catey International Airport. The project is a natural extension of the Autopista del Nordeste Highway, which connects Santo Domingo with the Samaná Peninsula, now a major center of tourism in the DR. Autopista del Nordeste was developed by the same set of Sponsors, who were advised by Astris Finance starting in 2004; the road was financed in 2006 via a MIGA-enhanced international bond issuance.

Under the BTA Concession Contract, the Government assumes the Project’s traffic risk and provides a Minimum Revenue Guarantee to the Company. Excess revenues beyond the minimum guaranteed revenues are shared between the Company and the Government through a mechanism designed to give both the Company an incentive to generate increased revenues and the Government a return for its minimum revenue guarantee obligation.

The 15 year maturity financing was raised from four agencies: (i) the IADB – Inter American Development Bank; (ii) the EIB – European Investment Bank, iii Proparco – Société de Promotion et de Participation Pour la Coopération Economique; and (iv) CAF – Corporación Andina de Fomento.

Dean Hull from Astris Finance said: “The recent macroeconomic crisis made financing this Project a tough challenge. We crafted a robust structure that revolved on the project’s flows beyond the government’s minimum revenue obligation and that relies on the political risk coverage that the strong lender team provides. The project has a strong developmental angle and is the first-ever project finance operation that brings together this specific group of multilateral lenders.”

Construction began in 2008 funded by equity and a Bridge Loan that was structured by Astris Finance and arranged by Citibank Dominican Republic. The road will open to traffic in early 2012.