Baker McKenzie has assisted Parque Eólico Kiyú S.A. as issuer for US $88.5 million in notes to Allianz Global Investors to refinance the Kiyú Wind Farm located in Uruguay's San Jose district. 

Allianz was the sole purchaser of fixed rate 22-year notes in a 4(a)(2) private placement to refinance indebtedness incurred to develop the wind farm. Credit Agricole Securities (USA) Inc. acted as the placement agent and Zero-E Dollar Assets, S.L., a subsidiary of Spanish construction group Cobra, was the sponsor.  The notes were issued in December 2019.

The wind farm has a capacity of approximately 49.2 MW. The project has a long-term power purchase agreement with Uruguay's state-owned company Administración Nacional de Usinas y Trasmisiones Electricas.

The Baker McKenzie cross-border team from the US and Latin America was led by partner Margarita Oliva Sainz de Aja and included Maria Fernanda Diago, Uldarico Ossio, Carol Stubblefield and Rafael Berckholtz. 

“This transaction represents one of the major trends in the refinancing of projects for the Latin American region,” partner and Chair of the Latin Finance Practice in North America Margarita Oliva states. “We are seeing an increase in the number of project companies that are choosing the capital markets, in particular private placements, to refinance their existing debt once construction is finished or close to being finished. Just in the last few months we have also assisted other sponsors and project companies in several jurisdictions in the region to refinance their debt through this source of funding.” 

Baker McKenzie is one of the world's most active project finance law firms. We advise sponsors, developers, financial institutions, investment funds, governments and governmental agencies on projects development and their financing across a wide range of industry sectors, including oil and gas, power, renewable energy, transport, water and social infrastructure on a full array of development and financing structures, including limited recourse financing, capital market issues, Islamic finance and project bonds.
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