September 14, 2021
Invenergy Completes Financing for Third Project in Uruguay
The Cardal Transmission project will improve grid efficiency and reliability in Uruguay and across the region
CHICAGO (September 14, 2021) – Tealov S.R.L. (“Tealov”), a subsidiary of Invenergy, a leading privately-held global developer and operator of sustainable energy solutions, announced the completion of construction financing for the Cardal Transmission Project in Salto, Uruguay.
In partnership with IDB Invest, a member of the Inter-American Development Bank Group, Invenergy has pioneered a $67 million A/B Bond Loan that features a two-tranche finance structure. The first is an $11.5 million direct loan from IDB Invest. The second is an indirect IDB Invest loan that totals $55.5 million and is funded through a Project Bond Issuance in the US Private Placement Market.
Prudential Private Capital was the sole investor for the bond issuance associated with the transaction. This investment marks Prudential Private Capital’s first A/B bond transaction and the firm’s first time investing in an Invenergy project outside the US. The bond issuance was rated Baa2 by Moody’s, achieving the highest rating allotted by the sovereign ceiling.
“We’re honored to continue to play an important role in the energy transformation in Uruguay. Invenergy’s ability to bring together strong, innovative financing partners like IDB Invest, who was instrumental in mobilizing this financing agreement, is key in achieving these project milestones,” said Rolanda Shine, Vice President, Project Finance at Invenergy.
The Cardal Transmission project will consist of 55 kilometers of new 500 kV high-voltage transmission line, 20 kilometers of new 150 kV transmission line, a new 500 kV substation, and accompanying infrastructure. The line will connect to the Punta del Tigre substation and a 150 kV high-voltage line in Salto, Uruguay. Invenergy issued a notice to proceed with construction of the Cardal Transmission project in July of this year and is targeting commercial operation by early 2023.
“We will leverage our expertise in high voltage transmission development and construction to lead the Cardal Transmission project to completion,” said Shashank Sane, Executive Vice President, Transmission at Invenergy. “We are proud to be expanding our investment in Uruguay while growing the global Invenergy Transmission portfolio.”
Once online, the project will be operated by the Uruguayan government-owned power company UTE under a 30-year lease agreement. Including Cardal, Invenergy Transmission has successfully developed over 6,475 kilometers of transmission and distribution lines globally.
We are innovators building a sustainable world. Invenergy and its affiliated companies develop, own, and operate large-scale sustainable energy generation, transmission, and storage facilities in the Americas, Europe and Asia. Invenergy's home office is located in Chicago, and it has regional development offices in the United States, Canada, Mexico, Colombia, Japan, Poland and Scotland. Invenergy has successfully developed more than 29,000 megawatts of projects that are in operation, construction or contracted, including wind, solar, and natural gas power generation facilities as well as advanced energy storage projects. For more information, please visit www.invenergy.com.
Invenergy operates two renewable energy projects in Uruguay—La Jacinta Solar Farm (64 MW) and Campo Palomas Wind Farm (70 MW). The company is also developing the 378-megawatt LNG-to-power Energía del Pacifico project in El Salvador, which consists of a 44-kilometer 230 kV double circuit transmission line in addition to a state-of-the-art thermal power plant and marine regasification terminal. In Mexico, Invenergy has over 800 MW of projects under construction and in development across wind, solar, storage, and natural gas. In 2019, Invenergy also announced a partnership with Empresas Publicas de Medellin (EPM), a large public utility in Colombia, to develop renewable energy projects.
About IDB Invest
IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social and environmental development in the region. With a portfolio of $13.1 billion in asset management and 385 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
About Prudential Private Capital
For nearly 100 years, Prudential Private Capital has been partnering with a wide range of corporations, sponsors, and institutions to provide valuable insights, guidance, and customized capital solutions that enable them to achieve their growth and funding goals. In an industry where capital can seem like a commodity and relationships are often fleeting and transactional, we are known for building enduring local partnerships based on a steady and patient commitment to our partners’ long-term capital needs. With regional teams in 15 offices around the world, we manage a portfolio of US$100 billion for our partners. All data as of June 30, 2021. For more information, please visit prudentialprivatecapital.com.
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Beth Conley, Vice President, Communications