2 minute read | May.31.2023
Renewable energy investor Glennmont Partners and floating wind developer Hexicon have entered an innovative development loan agreement that will provide up to 45 million euros to develop Hexicon’s pipeline of offshore wind projects in the UK, Europe and Asia, including the CfD-backed TwinHub in the UK and MunmuBaram in South Korea.
Orrick advised Glennmont Partners as lender. Glennmont is one of Europe’s largest fund managers focused exclusively on investment in clean energy infrastructure. It is wholly owned by leading global asset manager Nuveen – a TIAA company with about US$ 1.1 trillion in assets under management.
Hexicon is an early project-developer in offshore wind that operates in Europe, Africa, Asia and North America.
Jay Sarma, Director at Glennmont said “Very pleased to have worked with Adam and the Orrick team on this unique and highly innovative debt product. The team demonstrated a combination of strong technical skills alongside excellent sector specific knowledge.”
Hexicon must use the proceeds to fund the development of its project pipeline and repay Hexicon’s outstanding convertible loans. The development financing agreement provides for the specific needs of Hexicon as a growing developer, while providing Glennmont’s institutional investors with a foothold in the critical and rapidly growing floating offshore wind sector.
Partner Adam Smith led Orrick’s team.
“We are delighted to have advised Glennmont, and especially on this innovative, trailblazing debt product. We expect to see more of this type of facility as the energy transition accelerates and developers seek out alternative approaches to structuring investment through debt,” he said.