Moody’s rates Naranjal/Litoral notes Baa3, Ba2

Moody's Investors Service said it assigned a Baa3 rating to the proposed issuance by Naranjal/Litoral Uruguay Issuer 1 for about $97.3 million of senior secured notes due June 2042 and a Ba2 rating to the proposed issuance by Naranjal/Litoral Uruguay Issuer 2 of roughly $11 million of subordinated notes due June 2033.

The outlook is stable.

Proceeds will be used to refinance an existing loan used for the development and construction of El Naranjal and Del Litoral, two solar power projects located in Salto, Uruguay.

Moody’s said the issuers are two special purpose vehicles, established solely for the purpose of issuing the senior and subordinated B notes to fund the senior B loan participation and the subordinated B loan participation, per the participation agreement with the Inter-American Investment Corp. (IDB Invest), the lender of record. Note proceeds will be provided by IDB Invest to Colidim SA and Jolipark SA, the borrowers, which are wholly owned by Atlas and indirectly by Actis.

“The assigned ratings take into consideration the project's expected cash flows profile, derived from a fixed-price, long term power purchase agreement (PPA) due in December 2043 executed with Administración Nacional de Usinas y Trasmisiones Eléctricas (UTE, not rated), Uruguay’s (Baa2, stable) fully owned vertically integrated electricity company,” Moody’s said in a news release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.