Scatec, the Norwegian renewable energy solutions provider, netted 6 million US dollars when it refinanced the 37 million non-recourse project debt for the Vietnamese 39 MW wind power plant Dam Nai.
This was achieved by harnessing an improved project return through a reduced interest margin and covenant relief which allowed for the immediate cash disbursement USD 6 million.
With Vietnam as an important market for Scatec in the renewable energy sector, this refinancing move demonstrates how project returns can be enhanced when renewable assets and financial markets mature in the countries where Scatec operates.
“We are very pleased with the improved financing terms and project returns resulting from the refinancing. This transaction is the result of our continuous efforts to improve value creation for our operating portfolio through financial optimisation,” says CFO Mikkel Tørud.