Positive Zero, a leading energy transition platform in the GCC, today announced the closing of a landmark financing facility of up to $375 million.  

The non-recourse financing is the first transaction of its kind in the region for a diversified portfolio of decentralised infrastructure assets, including distributed solar power generation, energy efficiency and clean mobility solutions, it said.

Natixis Corporate & Investment Banking (Natixis CIB) acted as Financial Advisor to Positive Zero.

The long-term financing was arranged by Natixis CIB and The Arab Energy Fund. Natixis CIB also acts as Facility Agent, Security Agent and Green Loan Coordinator for this transaction.

The financing will provide substantial long-term capital to support Positive Zero’s continued expansion in the United Arab Emirates, Saudi Arabia, Bahrain, Oman and Qatar, funding the growth of its distributed infrastructure portfolio, capital expenditure program and strategic development initiatives.

The new debt facility complements BlackRock’s investment of up to $400 million in Positive Zero, secured in 2023, further strengthening the company’s capital structure and supporting the next phase of its growth.

David Auriau, Chief Executive Officer, Positive Zero, said: “This transaction represents a defining milestone not only for Positive Zero, but also for mobilising capital for sustainable infrastructure in the region. Securing the Middle East’s first non-recourse financing facility for a range of sustainability solutions across multiple geographies demonstrates the confidence that leading international and regional financial institutions place in our business model and long-term growth strategy.”

Lara Khatib, Head of Infrastructure & Energy Finance, Middle-East, Caucasus and Central Asia at Natixis CIB, said: “We are proud to support Positive Zero on this pioneering transaction, which establishes a new benchmark for infrastructure financing in the region. The facility structure reflects both the quality of the underlying asset portfolio and the increasing sophistication of financing solutions supporting energy transition and infrastructure development across the Middle East.”

Nicolas Thévenot, Chief Banking Officer, The Arab Energy Fund, said: “This financing reflects The Arab Energy Fund’s commitment to supporting strategic energy infrastructure across the region. We are pleased to participate in this landmark transaction, which demonstrates how innovative financing structures can accelerate the deployment of distributed energy solutions at scale.”

This transaction represents a significant milestone in the evolution of sustainable infrastructure financing in the region, and it builds on Positive Zero’s established track record in innovative financing. Today, the company has the largest distributed solar capacity in the region with more than 500 megawatts (MW) in operations and under construction, avoiding more than 450 thousand metric tons of carbon emissions annually.   The company has also saved over 100 million kilowatt-hours (kWh) in energy consumption across its client portfolio through its energy-efficiency solutions. - TradeArabia News Service