Abengoa Advances Syndication

Abengoa, which is raising a $460m 7-year loan for a 300MW co-gen power plant in the Mexican state of Tabasco, is heard to have clinched the funds through a limited syndication. The deal was launched in November and moved slowly because of a need for technical and engineering analysis, say executives on it, who expect closing by the beginning of April. The facility pays a step-up spread starting at Libor plus 412bp for the 36-month construction period, and rising to 437bp through month 48, 462bp through month 60, and 562bp through month 78. Fees are 325bp. Some 10 banks have been invited to participate. Only lead Santander, and BES and Banobras, which fully underwrote the facility when a club of banks supporting it initially fell apart last year, have been confirmed. The co-gen facility counts on offtake from Pemex. The $460m represents 70% of the project costs and a remaining $200m will come in the form of equity from Abengoa. Santander and BES have committed a $40m bridge to Abengoa that will be taken out with proceeds from the syndication.