Energy, Automobile, EV, Renewable News | TAQA’s subsidiary MIPCO secures AED 4.0 billion ($1bln) in financing

TAQA’s subsidiary MIPCO secures AED 4.0 billion ($1bln) in financing

September 21, 2022

Abu Dhabi National Energy Company (TAQA), one of the largest listed integrated utility companies in the Europe, Middle East and Africa region, has announced that the Mirfa International Power & Water Company (MIPCO), the project company that owns and operates the Mirfa Power & Water Plant (Mirfa IWPP), successfully completed refinancing of AED 4 billion (USD 1.09 billion).

This long-term financing is denominated in USD and is slated to mature on September 30, 2042. Nine international and regional lenders participated in this refinancing.

The syndicate of mandated lead arrangers comprised Abu Dhabi Commercial Bank PJSC, Bank of China (Dubai) Branch, First Abu Dhabi Bank PJSC, KfW IPEX-Bank GMBH, The Norinchukin Bank, Saudi National Bank, Shinsei Bank, Sumitomo Mitsui Banking Corporation and Sumitomo Mitsui Trust Bank.

The proceeds from the new long-term senior secured loan were utilized to refinance the Abu Dhabi-based power and water company’s existing debt facilities, which were established in 2014 as part of a soft-mini perm structure, an increasingly popular financing model within the region’s utility sector. Mirfa International Power and Water plant is a combined-cycle gas turbine power plant along with a modular reverse osmosis plant and three multi-stage flash desalination units. It has a gross installed power capacity of 1.7 gigawatts (GW) and 53 million imperial gallons per day (MIGD) gross water desalination capacity. It is 60% owned by TAQA, with ENGIE and Sojitz owning a 20% stake each.

MIPCO was advised on its refinancing by Allen & Overy LLP, a renowned international law firm, while the group of lead arrangers was supported by Linklaters, a global law firm, and WSP, one of the world’s leading engineering consulting firms.

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