AMP Capital’s Infrastructure Debt team has closed a €244 million mezzanine debt investment with France-based renewable energy provider Neoen. 

Neoen is headquartered in Paris and active across the renewables space including solar, wind and biomass, and currently operates in ten countries including France, the United States, Argentina and Australia.  It is the largest independent producer of renewable energy in France, and the third largest overall energy provider in the country. 

The mezzanine financing was closed in three cross-collateralised currency tranches (EUR, USD and AUD) on 14 December 2017, and has been validated as a Green Bond following ESG (Environmental, Social and Governance) due diligence by Vigeo, a recognised sustainability expert. 

The loan will provide financing for secured construction projects for a global 1.64GW portfolio of onshore wind and solar photovoltaic assets, located predominately in France and Australia. 

AMP Capital Infrastructure Debt Partner Emma Haight-Cheng said: “This investment is an excellent addition to our infrastructure debt portfolio.  Given the drive for decarbonisation in developed markets, renewable energy is an important investment theme for us, and Neoen’s scale and long, successful track record of developing renewables assets make this a highly attractive investment.” 

"The portfolio we are funding is a unique business, by virtue of its scale and geographic and technological diversification, and will provide IDF III with diversification, both in type of energy and geographic exposure" - Emma Haight-Cheng.

The investment will sit within AMP Capital Infrastructure Debt Fund III (IDF III), which closed to new investors in August 2017 after reaching its hard cap of US$2.5 billion and securing an additional US$1.6 billion for co-investment and other commitments as part of the fundraise. 

Ms Haight-Cheng added: “The portfolio we are funding is a unique business, by virtue of its scale and geographic and technological diversification, and will provide IDF III with diversification, both in type of energy and geographic exposure.  France and Australia account for more than 80 per cent of the portfolio and are robust and stable markets with transparent regulatory regimes and a history of renewables support.” 

AMP Capital’s Infrastructure Debt team comprises 13 investment professionals located in London, New York and Sydney.  It has invested more than US$3.8 billion in 62 infrastructure debt assets since 2001.