Toronto-based Polaris Infrastructure has closed on a $27 million loan financing with the Brookfield Infrastructure Debt Fund, managed by Brookfield Asset Management.
The loan was made to a nonoperating subsidiary of Polaris that holds all of the equity of its operating run-of-river hydro projects in Peru, including the 20-megawatt 8 de Agosto project, the 8-megawatt El Carmen project, and the 5-megawatt Canchayllo project.
The proceeds of the loan will be used to repay the $4 million senior loan at Canchayllo, with the remaining net proceeds to be used for general corporate purposes by Polaris.
“We are pleased to provide Polaris with a flexible holdco financing solution on their Peruvian hydro assets, backed by long-term PPAs, as they continue to expand into new jurisdictions in South America,” said Hadley Peer Marshall, managing director and head of infrastructure credit for the Americas at Brookfield, in a statement.
Under the terms of the loan, B
