Matrix Renewables closes landmark solar financing in Chile

January 11, 2022, Santiago, Chile – Matrix Renewables, the TPG Rise-backed renewable energy platform, announced today the closing of a long-term financing agreement for USD 290 million, under a non-recourse US Private Placement scheme. The financing pertains to Matrix Renewables’ portfolio of 328 MW of distributed solar photovoltaic projects in Chile, eligible under the stabilised price mechanism for Pequeños Medios de Generación Distribuida (“PMGD”) assets. This transaction represents the largest portfolio of PMGDs ever financed in Chile as well as the first long-term US Private Placement for this type of asset.

The project portfolio represents one of the largest of its kind in Chile and is comprised of 48 projects located in various regions throughout the country. These projects are part of the previously announced development agreements with Trina Solar and Verano Capital, part of the portfolio under operation, with the remainder under construction or in late-stage development. This market leading financing was oversubscribed, will have a tenor of over 20 years and holds an investment grade rating. BNP Paribas acted as placement agent for the transaction.

Sergio Arbelaez, Director and Head of Project Finance at Matrix Renewables, commented, “This deal represents a major step-forward for Matrix Renewables in Chile as it allows us to continue our portfolio growth here. The novel structure we have implemented brings differentiated value thanks to the incorporation of institutional investors with a long-term approach”.

This financing contributes to the business plan of the company, which has already secured over 1.4 GW of projects across Latin America, Europe and the United States.

Milbank and Guerrero Olivos acted as counsel to Matrix Renewables.