Allianz Global Investors Closes First Infrastructure Debt Renewable Energy Project in the US with a $400 Million Investment in Grande Prairie Wind
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This is the largest wind energy project in Nebraska, owned by BHE
Renewables, and will increase Nebraska’s wind energy by nearly 50
percent
Allianz Global Investors (AllianzGI), one of the world’s leading active
investment managers, announced today that it has made an investment of
over $400 million on behalf of its clients into the Grande Prairie Wind
project (“GPW”). The GPW project is a 400-megawatt wind farm in Holt
County, Nebraska – the largest wind energy project in the state’s
history – owned by BHE Renewables, a subsidiary of Berkshire Hathaway
Energy.
The project will increase Nebraska’s wind energy capacity by nearly 50
percent and represents the first project in the state for BHE
Renewables. This is also the first infrastructure debt renewable energy
investment made by AllianzGI in the US market.
The financing consisted of unlisted bonds with a 20-year term that were
privately placed with US and European investors via AllianzGI’s
established infrastructure debt platform. BHE Renewables will use the
proceeds to reimburse the costs of the construction that began in 2015
and will be completed by the end of 2016.
Commenting on the transaction, Paul David, Head of Americas,
Infrastructure Debt at AllianzGI, said:
“We are proud to complete our first private infrastructure debt
investment in the US renewable energy space with a milestone project
sponsored by BHE Renewables. GPW is an excellent showcase of how
AllianzGI can deliver value-added solutions to infrastructure Sponsors
through its established institutional platform. BHE Renewables was able
to tailor the structure to their goals and close the financing under an
expedited timetable through a one-stop-shop funding solution that
matches the investment mandate of our long-term infrastructure
investor-clients in the pensions and life Insurance industries.”
AllianzGI has been a leading provider of institutional infrastructure
debt solutions to the European market since 2013 and entered the US
market in 2015. With the achievement of the financial close of GPW, the
AllianzGI infrastructure debt platform has now made close to $2 billion
of investment commitments to infrastructure assets in the US over a
period of 18 months, with more expected to follow.
Notes to Editors:
BHE Renewables announced in April 2015 the plan to start the
construction of GPW. The Project has a long term Power Purchase
Agreement with Omaha Public Power District.
The AllianzGI Infrastructure debt team has completed investments of $8.9
billion between the US and Europe since 2013. The US infrastructure
portfolio has several large infrastructure investments, the first being
the $700 million acquisition stage investment in the Indiana Toll Road
in May 2015, subsequent investments include Chicago Skyway and the Long
Beach Civic Center P3 project.
In addition to providing debt finance, the Allianz group has two other
initiatives contributing to the growth of renewable energy in the US.
Allianz Capital Partners manages the provision of tax equity for wind
farms and, to date, has committed over $700m in the US. Allianz Risk
Transfer provides an innovative risk management solution for hedging
wind volume risks for wind farms and has successfully executed Proxy
Revenue Swaps with several counterparties in the US totaling more than
1.5 GM.
About Allianz Global Investors
Allianz Global Investors is a diversified active investment manager with
a strong parent company and a culture of risk management. With 25
offices worldwide, we provide global investment and research
capabilities with consultative local delivery. We have more than EUR 481
billion in AUM for individuals, families and institutions worldwide and
employ over 500 investment professionals. At Allianz Global Investors,
we follow a two-word philosophy: Understand. Act. It describes
how we look at the world and how we behave. We aim to stand out as the
investment partner our clients trust by listening closely to understand
their challenges, then acting decisively to provide them with solutions
that meet their needs.
Data as at 30 September 2016
About BHE Renewables
BHE Renewables is a wholly owned subsidiary of Berkshire Hathaway Energy
and is headquartered in Des Moines, Iowa. Since 2012, BHE Renewables has
invested extensively in solar, wind, geothermal and hydro projects. As a
long-term owner of assets, the company’s operating wind projects include
the 300-megawatt Jumbo Road project near Hereford, Texas; 168-megawatt
Pinyon Pines I and 132-megawatt Pinyon Pines II projects, located near
Tehachapi, California; 81-megawatt Bishop Hill II project in Henry
County, Illinois; and the 400-megawatt Grande Prairie project in Holt
County, Nebraska. More information is available at www.bherenewables.com.
Disclaimer:
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Investors U.S. LLC, an investment adviser registered with the U.S.
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