Israel’s Econergy Renewable Energy Ltd has agreed to set up two joint ventures that will bring it EUR 200 million (USD 226.2m) to support the development of its projects in Romania and Poland. The renewables developer said on Friday it will get EUR 150 million in debt from Israeli insurer Phoenix Insurance, split between a EUR-110.25-million convertible loan and a EUR-39.75-million permanent loan. The funds will be directed towards several of Econergy’s renewable energy projects in Romania and Poland that are scheduled to enter construction in 2022. The deal gives Phoenix the right to convert the larger debt facility for 49% of the shareholders’ capital and owners’ loans of the project partnerships. This option will be possible within 60 days of the plants’ commercial operations.
French asset manager RGreen Invest will provide Econergy with around EUR 50 million in equity and a loan to back the Israeli firm’s 90-MW fully permitted solar project in Parau, Romania. The photovoltaic (PV) will enter construction in the second quarter of this year and be connected to the grid in the first quarter of 2023 at the latest. In Romania, Econergy noted it has over 1.5 GW of projects in the pipeline, while its Polish portfolio consists of over 550 MW of schemes under development. The Israeli developer of wind, solar and storage projects have a European pipeline exceeding 6 GW.