Providence Capital advises on new renewable energy successful transaction
Providence Capital advised FIP MBI Energía, an industry specific investment fund managed by MBI Inversiones, in the sale of 100% of the equity capital of Energía Cerro El Morado.
Energía Cerro El Morado developed, owns and operates the Doña Carmen 40 MW solar PV power plant, operating since 2017, which is connected to the Los Vilos Nogales 220 kv transmission line through its fully owned 220/23 substation.
Providence Capital is a leading financial advisor in the renewable energy market in Chile, with deep and active involvement in M&A, Debt Structuring and Financial Valuation assignments for both local and international clients.
Within renewable energy, Providence has extensive experience with solar, wind and water generation assets, including also a comprehensive understanding of the PMGD niche.
Pablo D’Agliano, Managing Director of Providence Capital, declared: “This transaction is a complete landmark, as we had to adapt to all sort of external challenges through its execution, including the social crisis since October 2019 and the subsequent impact of the Covid-19 pandemic. We had to adapt to a new way of doing business on the road, and were able to conduct a full due diligence online, including most of the negotiations between seller and buyer also online. We actually met for Signing, and then Closing the deal because I honestly think we all wanted to feel a bit of the experience felt in the old days, with actual personal contact, shaking hands (or elbows), having eyes’ contact and the likes. But, in reality, everything could have been done online.”
Mr. D’Agliano then completed his comments, adding: “We are a competitive and seasoned multi industry financial advisor, capable of assisting with equity, debt and valuation needs of our clients. We can assist our clients in both local and cross border transactions, leveraging from our international alliance, which extends our global reach. Within the renewable energy industry though, we feel we are one of the best investment banks in Chile, having extensive concrete deal experience in all of our services: M&A, Debt and Valuations…
… and many times, we comprehensively solve our clients’ problems thanks to our broad understanding of both sides of our clients’ balance sheets, helping them to: i) grow through acquisitions; ii) refocus on core assets or recycle investments through divestments; iii) properly understand the valuation of assets and the different implications of alternative courses of actions through our financial modelling services; iv) optimize debt financing through our Debt Advisory team, structuring new debt or restructuring existing liabilities; v) optimize equity financing through the raising of new equity capital from investors; and so forth.”