AMP refinances Macarthur wind farm debt

23 December 2019 - 12:00 am UTC

AMP Capital has refinanced half of a 420 MW Victorian wind farm it purchased in October

AMP Capital has refinanced approximately AUD 700m (USD 607m) of debt linked to half of the 420 MW Macarthur Wind Farm in Victoria, according to sources.

In October, the Australian manager won a competitive auction to buy the wind farm stake from Malaysia’s Malakoff Corp. for AUD 880m.  

The acquisition reached financial close last Wednesday.

Westpac, Mizuho, ​​BNP Paribas and HSBC were joint lead managers for the five-year bullet loan that will mature in December 2024, said two sources involved in the process.

The new facility replaced Malakoff’s previous AUD 502m refinancing in June 2018. 

Bidders commonly described Macarthur as an AGL Energy bond because asset has a long-dated offtake with the Australian utility AGL without any wind risk. Australian interest rates fell during the course of the process, making the asset worth more, and allowing the buyer more latitude in increasing the leverage attached to the asset.

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