Aviva Investors has completed a £187 long-term debt facility to Bluefield Solar Income Fund Limited in two tranches. The first is a £125 million fixed-rate long-term facility and second is £62 million index-linked long-term facility. Both are fully amortising over 18 years.
John Rennocks, the Chairman of Bluefield Solar Income Fund Limited , said, “This is an important milestone in the development of the Company. Over the past three years the Company has patiently built its portfolio with a focus on being able to introduce the right type of financing at the right time. The timing has been favourable and has enabled the Company to be able to strike the highly attractive all-in fixed rate of [310bps] and indexed rate of [70bps]. Moreover, in Aviva, we have found a financing partner who has worked with the Company’s Investment Adviser to design a facility that supports, as opposed to restricts, the Company’s investment strategy and aspirations. We are delighted that the facility enables the Company to introduce an appropriate, if still cautious, leverage level at historically low rates with supportive terms and with the protection of a debt service cover ratio of close to 3 times earnings.”
Elizabeth Lutley, of Aviva Investors, said, “Aviva Investors is delighted to be able to support Bluefield with the provision of long term financing to this landmark transaction. The strong, well-performing portfolio which Bluefield has compiled to date and the investment strategy of the Company are highly complimentary to our long term investment policy and we look forward to supporting Bluefield in their future endeavours.”