Termovalle Completes $70MM Refinancing
Washington, DC –Dorado Power Ventures LLC, a Dorado Group company, completed a $70MM refinancing of its Termovalle Power Plant on December 27, 2012. Dorado Power Ventures owns 100% of the 205MW natural gas-fired combined cycle power plant located near the city of Cali, Colombia. The electricity generated from Termovalle is dispatched into the Colombian wholesale electricity market where the power from the plant provides critical back up to support Colombia’s national electricity demand when hydrology levels are low.
The senior secured loan was completed on a non-recourse, project finance basis and was financed jointly by Banco Itau of Brazil and Banco Davivienda of Colombia. Banco de Credito de Peru subsequently acquired a portion of the loan from Banco Itau.
“This refinancing significantly reduced the interest expense and extended the repayment period of Termovalle’s debt which in turn provides Dorado Group companies with greater cash flow for further investments. The refinancing is also a great indication of the sophistication of Latin American financial institutions, their confidence in the Termovalle project, Dorado’s management, and the Colombian power sector as a whole,” said William Kappaz, Chairman and CEO of Dorado Group.