Bistrica Hydropower Plants and Ulez-Shkopet HPP

Active

Prospective

In December 2012, Turkey’s Kurum International SH. A. won the competitive tender conducted by the Government of Albania (Ministry of Economy, Trade and Energy) to acquire 100% stake in four operational state owned hydropower plants - namely Uleza, Shkopeti, Bistrica I, and Bistrica II - with a combined capacity of 76.7 MW. Kurum offered the highest price of USD 149 million (Euro 109.5 million). Additionally, Kurum planned to rehabilitate the HPPs to improve the reliability of the power supply. Under the sale, Kurum operated the HPPs as merchant plants, selling electricity on the national and regional electricity markets. The project reached financial close in March 2014 with an eight year debt facility in the amount of USD 144 million. Kurum made an equity investment of USD 33 million. The debt facility included a €33 million (USD 44.9 million) loan for IFC’s own account and €73 million (99.4m USD) of financing syndicated to a diverse group of commercial banks and developmental finance institutions. The financing included B Loans of €27 (USD 37.5 million) million from FMO (Netherlands Development Finance Company), and €14 million from Odeabank, the Turkish subsidiary of Bank Audi (Lebanon). It included parallel loans of €18 million (USD 25 million) from the Black Sea Trade and Development Bank, €7 million from Banka Kombetare Tregtare, a local bank in Albania, and €7 million from Raiffeisen Bank Albania (which is also acting as the collateral agent).

Energy

World Bank Group

Project

Hydro, Power Generation (CCGT), Government, Commercial