Thailand’s independent power producer (IPP) Constant Energy has raised $15 million as a long-term senior secured loan from Switzerland-based investment firm Global Climate Partnership Fund (GCPF), according to a statement.
Constant Energy develops, builds and owns solar rooftop and ground-mounted projects focused on delivering energy solutions to commercial and industrial (C&I) customers.
Following the long-term debt, the company will grow its pipeline of solar energy projects for industrial clients in Thailand and Southeast Asia.
“This long-term senior loan will allow us to finance our current operating project and pipeline for the coming year, creating access to reliable, affordable and clean power for businesses across the region,” said Franck Constant, founder and CEO of Constant Energy.
With this long-term loan, GCPF has become Constant Energy’s first commercial lender, which enables it to expand further across Southeast Asia.
GPCF was established by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) and KfW Entwicklungsbank in 2009 as a public-private partnership (PPP). The fund has attracted investments from public and private investors including ASN Bank, Ärzteversorgung Westfalen-Lippe, DANIDA, FMO, IFC, OeEB, Sparkasse Bremen, EIB and Heilsarmee. GCPF is managed by Switzerland’s responsAbility Investments.
In mid-January 2020, Constant Energy received an undisclosed investment from PE firm Olympus Capital Asia, through its clean energy and sustainability platform Asia Environmental Partners (AEP).
Both the transactions have been advised by Finergreen, Singapore-based financial advisor focusing on renewable energy and energy efficiency projects.
Since 2017, Constant Energy operates solar plants providing low-cost green power to large industrial clients in Thailand. The company has more than 150 MW of subsidy-free projects at the development stage in Thailand and other Southeast Asian markets with over 25 large industrial clients.
In April 2019, Constant Energy signed an MoU with one of Thailand’s largest companies Siam Cement Group (SCG) to develop a 50MW of C&I solar PV plants. The project, which would be 100% owned by Constant Energy, will build rooftops, ground-mouth and floating technology solar PV plants ranging from 1MW to 5MW in size.
According to its website, Constant Energy specializes in the development, direct financing, construction and asset management of private power projects since 1995. The company’s management co-founded Sonnedix in France in 2009. Sonnedix grew to a 350 MW of solar IPP business and was sold to a fund advised by JP Morgan Asset Management in 2016.