Investec pumps £30 million into Lightsource projects
Lightsource Renewable Energy has closed the project refinancing of a portfolio of four solar power stations, with a total installed capacity of 38 megawatts. Investec Bank plc (Investec) provided the entire £30m term facility.
Also known as solar farms, these projects are large-scale photovoltaic systems that supply power into the UK national grid. Lightsource is the UK's largest developer and operator of solar farms with in excess of 316 MWp of operating solar power capacity in the UK across 250 sites and a strong pipeline of development projects.
Located at four different locations across the South and South East of England, the installations have been built under the Renewables Obligation (RO) subsidy regime. The four solar power stations refinanced are Chalcroft (6.3MW), Chediston Hall (12.4MW), Lexham (7.9MW) and Burntstalks (11.5MW). This latest Lightsource transaction represents the biggest Renewables Obligation solar farm project financing in the UK to date.
Investec acted as sole mandated lead arranger on this transaction. Investec has a growing presence in the UK solar market, having funded in excess of 80MW to date.
Paul McCartie, Structured Finance Director of Lightsource, said: "Investec has proven to be an exceptional, supportive partner and we look forward to strengthening our partnership with future deals. A report released by the government earlier this year, confirms the UK is leading the way in emerging low carbon sectors. This and other indicators, make it very clear that the green economy is one of the main sources of growth for the UK."
Olivier Fricot, head of Power and Renewables Lending, Investec, said: "Investec supported Lightsource in its first ROC based project financing. This transaction represents a significant deal for us, and further endorses the expertise of our team in the UK renewables sector. We are seeing significant opportunities in large-scale PV projects under the Renewables Obligation, which we are currently pursuing alongside other renewable technologies, such as wind or biomass."
