MONTREAL, Aug. 20, 2024 (GLOBE NEWSWIRE) — Boralex Inc. (“Boralex” or the “Company”) (TSX: BLX) is pleased to announce the closing of a US$95 million financing for the 52 MW Témiscouata II wind farm, located on public lands in the municipalities of Saint-Elzéar-de-Témiscouata and Saint-Honoré-de-Témiscouata, Quebec, and in operation since 2015. This financing was provided by Desjardins as sole lender and sole arranger.
The financing of the site includes:
- An $85 million loan with an 11-year repayment period;
- A letter of credit facility totalling US$9.7 million for guarantees under Hydro-Québec contracts and financing reserves;
- A significant portion of the long-term financing component bears interest at an interest rate set out in an interest rate hedging agreement.
- An ESG swap designed by Desjardins that includes a repayment to cover the interest rate risk of the debt and reward the achievement of ESG performance metrics. Specifically, the following measures are monitored: CO2 Emissions avoided by Boralex’s renewable energy production worldwide and the proportion of women in management positions.
“This financing is in line with our focus on optimizing our capital structure and also demonstrates the strong support of our projects from the financial community. I would like to commend the work of the Boralex and Desjardins teams, who have once again worked together to put together this loan with advantageous terms, including the ESG swap, an instrument that is in line with our strong commitment to corporate social responsibility,” said Bruno Guilmette, Executive Vice President and Chief Financial Officer of Boralex.
“This financing is another example of our leadership in the renewable energy ecosystem in Quebec and across the country. At Desjardins, our goal is to actively contribute to the creation of a more inclusive, low-carbon economy. After our participation in the financing of the Apuiat wind farm in partnership with the Innu communities of the Côte-Nord region, we are very proud to continue our relationship of trust with Boralex. By adding a green cashback to this financing product, Desjardins aims to support the efforts of companies to integrate environmental, social and governance criteria into their operations. We would like to highlight Boralex’s commitment in this regard,” said Guy Cormier, President and CEO of the Desjardins Group.
Caution regarding forward-looking statements
Some of the statements contained in this press release are forward-looking statements based on current expectations within the meaning of securities laws. Boralex wishes to caution you that by their nature, forward-looking statements involve risks and uncertainties that could cause results or actions taken by it to differ materially from those indicated or underlying such statements or could affect the degree of realization of a particular forward-looking statement. Unless otherwise indicated by the Company, the forward-looking statements do not take into account the possible impact on its operations, transactions, one-time items or other extraordinary items that may be announced or occur after the statements are made. No assurance can be given as to the realization of the results, performance or achievements expressed or implied by any forward-looking statements. The reader is cautioned not to place undue reliance on such forward-looking statements. Except as required by applicable securities laws, Boralex management undertakes no obligation to update or revise any forward-looking statements to reflect new information, future events or other changes.
About Boralex
At Boralex, we have been providing affordable renewable energy accessible to everyone for over 30 years. As the market leader in Canada and the largest independent producer of onshore wind energy in France, we also have assets in the US and development projects in the UK. Over the past five years, our installed capacity has more than doubled to over 3 GW. We are developing a portfolio of more than 6.8 GW in wind, solar and storage projects, guided by our values and our Corporate Social Responsibility (CSR) approach. Through profitable and sustainable growth, Boralex is actively participating in the fight against global warming. Thanks to our fearlessness, our discipline, our expertise and our diversity, we continue to be an industry leader. Boralex shares are listed on the Toronto Stock Exchange under the ticker symbol BLX.
For more information, visit boralex.com or sedarplus.com. Follow us on Facebook, Twitter, LinkedIn and Instagram.
More information
Source: Boralex Inc.
