Presentation to EWEA 17 th March 2009. Project Financing of Offshore Wind projects. Today’s Presentation. Corporate Finance. Introduction to Investec Bank PLC Bank overview Project and infrastructure team overview Power team overview Completed deals Project Financing offshore wind
17th March 2009
Operating profit* (£538m) by business
Other Activities 7.0%
Property Activities 6.8%
Private Banking 36.0%
Asset Management 14.3%
Investment Banking 14.4%
Capital Markets 21.5%
*before goodwill impairments, non-operating items and taxation.
The numbers are reported in terms of IFRS for Mar 2008.
A distinctive specialist banking group
Kruger Energy, Canada
Falck Renewables, UK
Selected recent advisory transactions
Thanet Offshore Wind Ltd, UKInvestec was mandated to lead arrange a £150 million mezzanine loan facility for Thanet Offshore Wind, a 300MW project off the south coast of England. The sponsor subsequently sold the project to Vatenfall without provision of our facility.
Airtricity, UK/IrelandInvestec provided a €40 million financing at Airtricity’s corporate level, under which the repayment is reliant on distributions from a portfolio of underlying projects. This allowed Airtricity to monetise future cashflows from a 130MW portfolio of operational wind farms in the UK and the Republic of Ireland.
IVPC Wind, Italy
Australian Wind Development
Investec has set up an in-house wind development team. In the past two years it has successfully permitted several projects, some of which was sold to local utilities. One of these projects (Collgar – 240MW) is currently in the market to seek project finance and is expected to close in Q2 2009
BCI Wind, Greece
Investec is working in a joint venture with a local developer on a pipeline of >125MW of wind projects. We are providing equity, including initial funding for project development and turbine deposits, along with financial advisory services, particularly in dealing with third party senior debt lenders.