Developer, owner and operator of utility-scale renewable energy assets, Vesper Energy, has increased the size of its letter of credit (L/C) facility to US$140 million.

This expands the L/C facility Vesper arranged with Macquarie Group for up to US$100 million less than a year ago (DC World News, 22 January 2021).

New bank participants

Macquarie also acted as lead arranger of the upsized L/C facility that aims to fast-track the development of Vesper's 3.5 gigawatt of solar and 2.5 gigawatt hours of energy storage pipeline in North America.

The expanded facility includes two new banks, Landesbank Hessen-Thüringen Girozentrale (Helaba) and ICBC Standard Bank Plc (ICBCS).

L/C security

Vesper says it will use the expanded L/C facility to cost-effectively post securities for power purchase agreements and interconnection agreements with energy transmission networks.

"The addition of financing partners Helaba and ICBCS is a testament to the strength of our team and development pipeline," according to Vesper's CEO, Craig Carson.

"With the upsizing of the L/C facility, we are very well positioned to continue to execute on Vesper Energy's rapid growth trajectory," he concludes.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.