Continuum Wind Energy Ltd, sponsored by Singapore-based Clean Energy Investing Ltd, the indirect wholly-owned subsidiary of a Morgan Stanley fund entity, New Haven Infrastructure Partners, plans to issue its maiden green bond of $500-600 million, to be listed on the SGX. The proceeds will be used to refinance the project debt at six of its operating entities and to set up wind projects in India.
The proceeds of the green bond will be used to refinance the project debt at six of its operating entities of the Continuum Group which together will form part of a bond issuing Restricted Group (RG1).
IFC investment consists of the subscription to this green bond of an amount of upto $75 million for a tenor of 6 years. The proposed IFC investment has both strong financial and non-financial additionality. IFC will be facilitating access to international capital markets for a first-time issuer through an innovative financial structure that will help the sector in tackling lack of suitable domestic market financing options during the ongoing pandemic. In addition, IFC will contribute to strengthening the company's E&S practices through the adoption of IFC's performance standards, said IFC.
IFC’s proceeds will be utilised by the company towards the two wind power projects in Madhya Pradesh.
RG1 has an aggregate capacity of 722.9 mega watt, comprising operational wind and solar assets which have Madhya Pradesh and Maharashtra as off takers and power purchase agreements with C&I customers in Gujarat and Tamil Nadu.
Continuum Wind Energy Ltd was founded in 2012 and is focused on establishing an independent renewable power producer business in India. The company is the holding company of Continuum Green Energy (India) Pvt Ltd, an IFC client since 2014.