Gatinueau, Quebec-based Brookfield Power Inc. has closed a C$300 million bank facility in connection with its 189 MW Prince Wind Project through a wholly owned subsidiary, Brookfield Power Wind Prince Financial Corp. Brookfield says the proceeds of the financing will be used to repay the existing construction credit facility for Prince Wind.
The Prince Wind Project, which includes 126 wind turbines near Sault Ste. Marie, has been operational for a year. The project is being financed with a five-year floating rate bank facility, and payments of interest and principal will be made quarterly pursuant to amortization matched to coincide with the termination of the last power purchase agreement in 2028. Brookfield intends to hedge the bank facility's floating interest rate to a fixed rate.
Financing was provided by a syndicate of lenders, co-led by The Bank of Nova Scotia and Dexia Credit Local S.A, and was pre-syndicated as of financial close to include ABN Amro N.V., Bank of Tokyo-Mitsubishi UFJ, Fortis Capital and Sumitomo Mitsui Banking Corp. of Canada.