Omnigen Energy secures BRL 250 million for solar power plants in Brazil

Omnigen Energy and Appian Capital Advisory LLP announced that they have secured BRL 250 million in financing from Itaú BBA to complete the construction of 20 small solar power plants in Minas Gerais, Brazil. With a total capacity of 62.4 MWp, this project is a key step in Appian’s strategy to strengthen its presence in the Brazilian energy market.

Structuring financing

The collaboration between Omnigen and Itaú BBA is the result of a structured process involving several stakeholders. The financing covers the remaining development costs of the solar power plants, ensuring the project is fully funded until production begins. The soundness of the basic assumptions of the project was confirmed by an in-depth due diligence analysis in technical, legal and financial terms.

Strategic and economic benefits

The solar power plants will diversify and secure energy supplies to Minas Gerais, a key distributed generation market in Brazil, where 2.5 GWp has already been installed. Favorable tariff conditions and tax benefits for solar energy production in Minas Gerais will help provide Appian investors with attractive risk-adjusted returns.

Status

Omnigen’s engineering, procurement and construction program is on schedule, with several processes running in parallel. The solar development is currently 50% complete and on budget.

Strategy and vision

Michael W. Scherb, founder and CEO of Appian, said securing this financing represents a significant milestone in the future of the project, emphasizing its importance in Appian’s strategy to secure critical supply chains. Milson Mundim, CEO of Omnigen, added that this financing will support the development of solar power plants until launch, in cooperation with Itaú BBA.
This R$250 million project to build 20 solar power plants in Minas Gerais will enable Omnigen and Appian to strengthen their position in the Brazilian energy market. As the plants are currently financed until they become operational, the project is well positioned to deliver significant economic benefits while supporting Brazil’s energy transition.