Resources of R$ 350 million will be used to restart the works of phase A of the Alto Sertão III wind farm, in Bahia, and will allow the generation of cash to settle debts of Renova Energia
After having been paralyzed for years with almost 90% completed due to lack of resources, work on the Alto Sertão III wind farm, in Bahia, will resume! The Board of Directors of Renova Energia, whose main shareholder is Cemig, a state-owned company from Minas Gerais, approved the financing of up to R$ 350 million by the company Quadra Gestão de Recursos, on Tuesday (08).
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Renova Energia had received offers from Quadra Gestão de Recursos Ltda. and the union constituted by ARC Capital Ltda., G5 Gestora de Recursos Ltda., and XP Vista Asset Management Ltda.
The financing closed with Quadra will be carried out in the DIP (debtor in possession) modality and will allow the resumption of the execution of the Phase A works in the Alto Sertão III wind farm, in Bahia, as well as current operating expenses of the economic group controlled by the company .
The wind complex project in Bahia will generate cash to pay off the company's debts Renova Energy with creditors and move forward with its judicial recovery plan. The credit from the loan will be used to restart work on phase A of the Alto Sertão III Wind Complex, in Bahia.
Construction of the Alto Sertão III Wind Complex, in Bahia
The Alto Sertão III wind complex, located in Bahia in the municipalities of Caetité, Guanambi, Igaporã, Licínio de Almeida Macaúbas and Pindaí, has its works paralyzed due to “Economic difficulty in making the project viable” according to the monitoring of works by ANEEL.
Although at an advanced stage, the works on the Alto Sertão III wind farm have been at a standstill for three years and, as a result, the Renova complex does not generate any revenue or cash for the business. The much smaller Alto Sertão I and II wind farms had work started and sold before completion.
About Renova Energia
Founded in 2001, Renova Energia is a Brazilian renewable electricity generation company operating in wind, small hydroelectric power plants (PCHs) and solar. Since 2009, its activities have been heavily focused on wind source projects, a market in which it is a pioneer, having implemented the largest wind complex in Latin America, in the southwest of Bahia.
As a differential in its performance is the qualification to operate in an integrated way the various stages of the energy generation chain, carrying out the prospecting, implementation and operation of the projects.
