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ET just ambled along as usual, ya know. Clippety-clop.

Congratulations on this success! The only thing I can (stupidly) ask you about it is to clear up what you mean by "investors" in the project. These are the banks' clients, ie the borrowers? Are they also investing capital of their own? What kind of entities are they?

by afew (afew(a in a circle)eurotrib_dot_com) on Thu Oct 26th, 2006 at 04:27:17 PM EST
[ Parent ]
Investors are the bank's clients, indirectly. They are investing project, and they own it in full.

But they are not borrowers, that's precisely the point of project finance: the borrower is a company which owns only the project (the wind farm in that case), and which has just enough capital (from investor contributions, plus bank loans) to build the project, and which then lives or dies on the revenues of its project.

In this case, the investor are a Dutch utility (which also buys the electricity produced) and groups specialised in the development of renewable energy projects.

In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (etg@eurotrib.com) on Thu Oct 26th, 2006 at 05:08:37 PM EST
[ Parent ]

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