360Energy, one of Argentina’s leading solar photovoltaic energy companies, has successfully completed the issuance of its second Green Bond in the local market. The company aimed to raise USD 60 million but received offers exceeding USD 93 million.
The issuer successfully reached its goal by placing USD 80 million in the two planned tranches: USD 20 million bullet at 24 months with a 0% annual interest rate for the short-term tranche, and USD 60 million with a 5% annual interest rate for the long-term tranche at 108 months. The allocations resulted in approximately 84% and 95%, respectively.
“We are proud to secure local financing that supports our growth plan, positioning us as a key player in the energy transition in our country. We are convinced that solar energy will lead this change, and we are strongly focused on it,” said Federico Sbarbi Osuna, CEO of 360Energy.
The bonds issued align with the four core components of the International Capital Market Association’s (ICMA) Green Bond Principles. As a result, Fix, an affiliate of Fitch Ratings, rated 360Energy’s Green Bonds as BV1 (the highest rating in Argentina) and A risk. Cecilia Dragonetti, CFO of 360Energy, added:
“We are committed to the country’s energy transition, and this successful new green bond issuance encourages us to continue investing in renewable energies, one of the most promising and fast-growing sectors in Argentina and globally.”
The transaction was led by ITAU Banco Itaú Argentina S.A. as the organizer, with a consortium of underwriters including Itaú Valores S.A., Balanz Capital Valores S.A.U., Banco De Servicios Y Transacciones S.A., Invertir En Bolsa S.A., PP Inversiones S.A., Bacs Banco de Crédito y Securitización S.A., and Banco Hipotecario S.A.
The funds raised will finance the construction of the 94 MWp La Rioja II Solar Park located in Nonogasta, La Rioja province, which will supply energy to the MATER market. Construction is set to begin in 2023, carried out by 360Energy’s technical, logistical, and human resources team, which boasts extensive experience with over 300 MW built in Argentina across both its own and third-party solar parks.
Currently, 360Energy owns and operates five solar parks in the provinces of San Juan, La Rioja, and Catamarca, with a total capacity exceeding 100 MWp. The company also continues to lead innovation in the solar photovoltaic sector, having installed the first large-scale storage batteries in one of its parks in San Juan province, creating the first hybrid photovoltaic project connected to the national grid.