Boralex Inc., Gaz Métro Limited Partnership and Valener Inc. have closed on a C$617.5 million nonrecourse refinancing for Seigneurie de Beaupré Wind Farms 2 and 3 General Partnership, which operates two winds farms located 60 km northeast of Québec City on the private property of Séminaire de Québec.
According to Boralex’s release, Gaz Métro and Valener indirectly hold interests in the wind farms through Beaupré Éole General Partnership. A special distribution to the partners of Wind Farms 2 and 3 of C$80 million has been declared and is expected to be paid shortly after the closing of the refinancing.
Boralex says Wind Farms 2 and 3 – with a capacity of 272 MW – have been covered by 20-year power purchase agreements with Hydro-Québec since commissioning of its facilities. The total refinancing amount of C$617.5 million consists of the following:
- C$383.4 million uncovered tranche of the term loan expiring in December 2032, representing a C$132.3 million increase over the initial tranche and a one-year extension of the maturity date;
- C$192.7 million covered tranche of the term loan expiring in December 2029, representing a C$44.5 million decrease and a two-year reduction of the maturity date of this tranche; and
- C$41.4 million letter of credit facility.
The C$192.7 million tranche of the term loan is covered by a guarantee pledged in favor of the lenders by the Federal Republic of Germany through its export credit agency, Euler-Hermes.
The group of lenders consists of Bank of Tokyo-Mitsubishi, KfW IPEX-Bank,
Sumitomo Mitsui Banking Corp., Mizuho Corporate Bank, AKA Bank, DZ
Bank, Laurentian Bank of Canada, Commonwealth Bank of Australia and Crédit
Industriel et Commercial.
Cosime Infrastructure and Energy and JCRA Canada Inc. acted as financial advisor and hedging advisor, respectively, on behalf of Wind Farms 2 and 3.