The European Investment Bank (EIB) entered into a €150 million loan agreement with Beka Credit, the private debt fund management platform of Beka Finance, a Spanish financial services entity. The loan will support the Pino Project, aimed at financing small solar PV and onshore wind projects across Spain.
The Pino Project involves a preferential framework loan to a specially created vehicle, Proyecto Pino, which is designed to provide tailored loans to renewable energy projects with individual investments up to €50 million, although most projects are expected to cost less than €10 million. The initiative is expected to support around 65-70 projects, with the majority (80%) focusing on solar PV and 20% on onshore wind. There may also be consideration of additional technologies, such as battery storage.
The EIB’s loan comes with distinctive features, including the disbursement in different tranches based on the allocation of subprojects and a bullet loan profile, which makes the financing model innovative. The loan is structured without relying on additional renewable energy support schemes, focusing instead on commercial risks.
“The EIB contribution will enable the Borrower to attract investors and combine EIB financing with the investors’ cost of capital to offer more competitive financing to the final beneficiaries,” said an EIB spokesperson. This will ensure that projects exposed to electricity market prices are able to secure the funding needed. Additionally, each subproject assignment will undergo thorough due diligence, providing confidence to third-party investors.
The EIB further emphasized that the successful execution of the Pino Project would not have been possible without the backing of Invest EU, highlighting the program’s role in facilitating large-scale energy initiatives.
This loan agreement marks a significant step in supporting Spain’s renewable energy transition by offering competitive financing for small-scale solar and wind energy projects, reinforcing the EIB’s commitment to sustainable energy development
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