Fotowatio Renewable Ventures (FRV) closes USD 82 million solar PV financing with Inter-American Development Bank

January 7, 2015
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  • This is IDB’s first financing of a solar PV project in Uruguay and its largest to date for a solar PV project.
  • The deal will refinance a previous loan with the DNB Group and Intesa SanPaolo, allowing FRV to improve its project financing conditions and extend the maturity of its debt until November 2034.
  • FRV, IDB and IE Foundation have signed an agreement under which the company will offer a ‘Young Talent Leaders’ scholarship to cover all the costs for the formation of a degree program that will allow a student from Uruguay to study at IE University in Segovia, Spain.

Fotowatio Renewable Ventures (FRV) announced today the closing of a USD 81.9 million loan with Inter-American Development Bank (IDB) to build a solar PV farm, La Jacinta, in Uruguay. It is IDB’s first financing of a solar PV project in Uruguay and will be one of the largest solar PV projects in Latin America.

The deal allows FRV, a leading global solar development company with approximately 3GW of active project development backed by global private equity firm Denham Capital, to improve its project financing conditions and extends the maturity of its debt until November 2034.

The loan refinances a previous USD 70 million construction loan signed last July with the DNB Group and Intesa SanPaolo, for the construction of La Jacinta, a 65-megawatt photovoltaic plant in Salto Department in northwestern region of Uruguay.

La Jacinta marks the first solar power purchase agreement (PPA) signed with Uruguay’s state-owned company UTE (Administración Nacional de Usinas y Trasmisiones Eléctricas). The solar farm is part of the government’s sustainable energy policy to promote solar power in Uruguay. Once completed, the facility will generate enough electricity to supply approximately 35,000 homes in the area and remove 74,142t CO2 emissions per year.

“The financing support of the Inter-American Development Bank will allow us to focus on the completion of the largest solar PV project in Uruguay as well as develop, over the long term, additional quality clean energy projects in the region,” said Rafael Benjumea, FRV’s CEO.

FRV and IDB also announced today the signing of an agreement with the IE Foundation which will offer a ‘Young Talent Leaders’ scholarship to allow a student from Uruguay to study in a degree program at IE University in Spain.

The scholarship, which is valued at more than USD 140,000 and covers all training in a degree program at the university, will be given by the three organizations to a student that demonstrates high academic merits, has a personal initiative of improvement as well as qualities of entrepreneurship. The grant covers tuition fees, lodging accommodation, academic materials, travel and meals support for four years.

“FRV has a firm commitment to contribute to economic and social development in the markets and communities in which it operates and we’re pleased to give back to the community in Uruguay, along with our partners at IDB, through this program,” added Benjumea.


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Rafael Benjumea

Founder, FRV

At FRV we have a strong commitment to the economic and social development of the markets and communities in which we operate, and we are pleased to be able to deliver on this commitment through this innovative program.

Roberto de Diego Arozamena

CEO, Abdul Latif Jameel Energy and Environmental services

FRV has technological and operational independence in their execution, which allows us to always find the best solution for each particular project.

Gianfranco Carassale

Lead Investment Officer, Inter-American Investment Corporation (IIC)

Despite their size, they have been competing closely in bids with firms, which had different structures and abilities. This certainly shows their ability to be a strong market competitor. FRV has been a pioneer in market segments where no one had been before, and that has a lot of value.