Origo 2022

pending

The ESRS has been updated to reflect the change in the assets to be covered by IFC’s Use of Proceeds that led to lower E&S risks of the Project. IFC proposes to arrange a debt package to a wholly owned subsidiary (the Borrower) of Órigo Energia (“Origo”, the “Company” or the “Sponsor”) to finance the construction of solar distributed generation (DG) assets for 66 MWac of capacity with total project cost (Capex and financing cost) of BRL[410] million (US$[76] million) in Brazil (the “Project”). The proposed investment consists of (i) an IFC A Loan of BRL[123] million (US$[22] million) through IFC’s evergreen BRL pool, (ii) a Subordinated Loan of BRL [93] million (US$[17.2] million) through Blended Finance participation. The proposed tenor is up to [10] years door-to-door from signing, including (i) a [1.5]-year grace period from loan commitment, and (ii) up to [8.5] years of operations.Origo is a leading solar power Distributed Generation (DG) company in Brazil, serving more than 75,000 SMEs and residential customers with assets in operation of over 272 MWp. The Project will develop 22 additional units of solar photovoltaic (PV) plant (each up to 5 MWac and with maximum surface area of 20 ha) across four states (Minas Gerais, Para, Maranhao and Pernambuco) in Brazil. The Company performs engineering and procurement directly and will hire a third-party construction contractor through its relationship network of about 50 local construction companies where it operates.The distribution lines (maximum 10 km) will be built by the distribution concessionaire in each state for three out of the four states (with the exception of Minas Gerais).  These distribution lines are considered Associated Facilities. In Minas Gerais, Origo will be in charge of the construction of the distribution line through an authorized contractor and then partially reimbursed by the distribution company on a minimum global cost basis.