Mainstream's Chilean wind, solar assets up for grabs - report

Dublin-based solar and wind pure-player Mainstream Renewable Power is seeking to sell its operations in Chile, Chilean newspaper La Tercera reported on Tuesday.

The company appointed Brazilian investment bank BTG Pactual to find buyers for its assets, which include solar and wind farms with a total operational capacity of roughly 1 GW, and some 1.8 GW under construction and development.

Preliminary bids are expected to arrive next month, La Tercera reported, citing sources close to the deal.

Mainstream’s flagship project in Chile is Andes Renovables, a fully contracted portfolio consisting of ten solar and wind projects divided into groups -- Huemul, Condor and Copihue.

About a year ago, the Huemul and Condor project companies successfully emerged from the judicial reorganisation proceedings after reaching an agreement with project finance and mezzanine lenders, and renegotiating terms for a around USD 1.0 billion (EUR 920.2m) in project senior debt.

As many companies in Chile’s renewables sector, Mainstream incurred financial losses in the confluence of challenges affecting the market, including an over-saturated transmission system and curtailments, and further complicated by the structure of the country's power market.

Despite these challenges, “the Andes Renovables platform continued to demonstrate resilience by delivering positive commercial margins during the first half of 2024”, Mainstream’s majority owner Aker Horizons ASA (FRA:7QF) said in its half-year 2024 earnings report.

(USD 1.0 = EUR 0.920)

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