The Luiz Carlos Solar Complex in Brazilrepresents one of the most ambitious and sophisticated renewable energy financings ever executed in Latin America. Combining scale, innovation, and community impact, the 800MW solar platform in Minas Gerais advances Brazil’s clean energy transition while setting new benchmarks for project finance in the region.
Developed by Atlas Renewable Energy, the project, which wins Renewable Energy Financing of the Year, comprises two branches: Luiz Carlos 1, sponsored by Votorantim Cimentos (VC) with 396.9MW of capacity, and Luiz Carlos 2, sponsored by ArcelorMittal Brasil (AMB) with 264.6MW. Together, the plants deliver renewable power to two of Brazil’s most energy-intensive industrial sectors—cement and steel—directly supporting the decarbonization of industries critical to the national economy.
To reach financial close, the sponsors deployed a R$2.135 billion multi-tranche structure in Brazil’s capital markets, executed in phases to match construction schedules, equity contributions, and regulatory milestones. The package included R$125 million in commercial notes for the VC bridge phase, $R720 million across six commercial note offerings for the AMB bridge phase, R$750 million in long-term incentivized debentures, and R$500 million in debentures for equity bridge financing. This carefully staged approach balanced liquidity, execution risk, and market timing, ensuring momentum during construction while securing long-term funding solutions.
A defining feature of the financing was its role as the first-ever issuance of incentivized debentures under Brazil’s Decree 11,964/2024, which redefined the framework for priority infrastructure projects. By securing this classification, the sponsors aligned the financing with Brazil’s energy transition policies while also unlocking cost-efficient access to capital. The long-term debentures were certified as Green Bonds by Sustainable Fitch, reinforcing the project’s environmental and social credentials and enhancing its profile among ESG-focused investors.
The financing was also notable for its layered guarantees and collateral structures, including fiduciary assignments of revenues, fiduciary sales of shares and equipment, corporate guarantees, and equity support commitments across multiple sponsor entities. For the AMB branch, a Build-Operate-Transfer (BOT) model was implemented, requiring additional protections to ensure a smooth transition of ownership once construction is complete. Together, these structures demonstrated an ability to manage complex risk allocation while pioneering new instruments in Brazil’s capital markets.
The project’s local impact is equally striking. Situated in Minas Gerais, a region with both high solar potential and significant socioeconomic challenges, the Luiz Carlos Solar Complex is not only providing clean energy but also anchoring regional development. More than 2,000 direct and indirect jobs have been generated, 273 women were trained locally for construction and operations roles, and science education programs have been introduced in schools. At its peak, construction employed around 2,500 workers.
“Luiz Carlos is a very special project for us—we developed it from scratch. We found the land, built relationships with local communities, obtained the permits, and partnered with two major Brazilian clients,” says Atlas CEO Carlos Barrera.
Upon completion, the solar complex will supply enough renewable energy to power over 1.2 million homes, displacing significant CO₂ emissions and advancing Brazil’s climate goals. With its scale, regulatory firsts, ESG validation, and transformative social footprint, the Luiz Carlos Solar Complex has redefined what is possible in Latin American renewables.
Renewable Energy Financing of the Year
Luiz Carlos Solar Complex
R$3.010bn ($547m)
Sponsors: Atlas Renewable Energy; ArcelorMittal Brasil S.A.; Votorantim Cimentos S.A.
Financial Advisor & Lead Arranger: Itaú BBA
Arranger: Santander Brasil
Sponsor’s Counsel: Cescon, Barrieu, Flesch & Barreto
Lenders’ Counsel: Lobo de Rizzo
All supporting financial institutions and law firms were transmitted to LatinFinance by the award category winners. For updates please email awards@latinfinance.com