Acen secures $750m to help bankroll one of Australia’s biggest pipelines of solar, wind and storage

Acen Australia says it has secured $A750 million in debt finance to help underwrite its existing large-scale solar assets and one of the biggest pipelines of solar, wind and storage assets in Australia – totalling 13 gigawatts (GW).

The Philippines-based renewables developer has more than 1,000 megawatts (MW) of renewable capacity in operation and under construction in Australia, and says it a further 13GW in development across the National Electricity Market (NEM).

The 400 MW New England solar farm in NSW – which will be expanded to a nation-leading 720 MW in a second stage of the project – is Acen’s first major operating asset in Australia, while the Stubbo solar farm in the central west of New South Wales is nearing completion.

Acen says the funding round – supported by a group of local and international lenders, including three out of four of Australia’s Big Four banks – will help finance the 400 MW Stubbo Solar farm.

Construction has also started on a big battery at New England that will eventually be sized at 200 MW and 400 MWh.

In the pipeline, the company’s 936 MW Valley of the Winds project in NSW has been named as the biggest of the 19 winners of the federal government’s first Capacity Investment Scheme. Acen has also won a NSW long duration storage underwriting agreement for the Phoenix pumped hydro project.

Last week, Acen’s New England solar farm was part of a three-way deal with Zen Energy to help power the east coast operations of industrial gas giant, Boc Australia, with renewable energy.

The 10-year deal, which Zen has described as one of the biggest multi-state Electricity Retail Agreements (ERA) ever struck in Australia, will replace more than 45 per cent of Boc’s grid power consumption in Queensland, New South Wales and Victoria with renewable energy.

Acen is also looking to build the 900 MW Robbin Island wind project in Tasmania, but is still waiting for EPBC approval after negotiating sometimes fierce opposition from local environmentalists and legal action.

David Pollington, Acen Australia’s managing director, says the debt finance raised in this latest transaction will establish a “robust funding base” for the company’s portfolio of wind, solar, pumped hydro and battery storage.

“Our ability to attract top-tier financial partners reinforces our position as a trusted, long-term developer, owner and operator of assets, and reflects growing investor appetite for high-quality, renewable infrastructure in Australia,” Pollington said.

ACEN Australia chief financial and investments officer Phillip Mak says the funding deal demonstrates the company’s ability to independently access and structure capital solutions as a key portfolio business of parent company, ACEN Corporation.

“This transaction strengthens our funding platform, accelerates our delivery pipeline, and positions us as a capable partner backed by a stable and diverse capital base,” Mak said.

Financial institutions involved in the deal include ANZ, Commonwealth Bank of Australia, Westpac, CTBC Bank, Deutsche Bank, HSBC and the Sumitomo Mitsui Banking Corporation.

Macquarie Capital and Morgan Stanley were joint financial advisors to the transaction. Allens was the legal adviser for ACEN Australia and Hebert Smith Freehills legal adviser for the lenders.