
On October 31, The Hyakugo Bank finalized a 237.5 million yen loan it arranged for Kioicho Electric Power LLC, a solar power plant holding company backed by a fund managed by Global Infrastructure Management and SMFL Mirai Partners. The Shiga Bank co-funded the syndicated loan with The Hyakugo Bank.
Kioicho Electric Power will use the funds to develop and acquire 18 non-FIT (feed-in-tariff) solar power plants totaling 12.575MWDC/7.449MWAC. According to the Mie Prefecture-based bank’s statement, a majority of the projects will be newly developed and monetized through PPAs with Chubu Electric Power Miraiz, Osaka Gas, and others. Of the 18 power plants, 11 will be in the Chubu TSO area, five in Kansai, and one each in Tokyo and Tohoku.
JapanInspection along with other companies will manage the maintenance of the assets.
While earlier this year, The Hyakugo Bank provided a 10 million yen loan for a portfolio of four low-voltage power plants under the FIT scheme and arranged a 320 million yen syndicated loan for a 10MW FIT project, this is the first time for the bank to announce financing projects without the fixed revenue per kWh FIT subsidy.