Project Neptune

Project Neptune represents holding company financing to a portfolio of French wind and solar assets supported by a feed-in-tariff.

Sequoia worked alongside another lender to provide club financing at holding company level with each project keeping its legacy project finance debt. The project sponsor saw the HoldCo financing as an alternative to selling minority equity stakes in each of the underlying projects. This solution helped the sponsor free up equity and expand its renewables development pipeline.

As the maximum target tenor of our co-lender was limited, the Fund made the transaction possible by taking the longer-term maturities. To de-risk our investment we negotiated a set of cash sweeps that will shorten the expected weighed average life of the loan to our target tenor.