Public Commentary: This post serves project sponsors, lenders and institutional investors. It is not investment advice or a solicitation.
Solar PV Financing — Bankable Structures & Global Track Record
From 10-MW behind-the-meter arrays to multi-gigawatt merchant plants, FG Capital Advisors delivers the capital stack that gets steel in the ground. Our team has closed 4.2 GW in North America, 1.1 GW in Africa and 2.5 GW across Asia-Pacific. Below is the playbook we follow—refined over more than a decade of solar mandates.
Guide Navigation
1. Market Drivers
- Policy tailwinds: US IRA 2022 transferable credits, African feed-in tariffs and Asian bilateral PPAs continue to unlock build pipelines.
- Cost curve: Module prices fell 21 % year-on-year, widening debt-service buffers.
- Off-taker appetite: Data-centre operators and miners seek 10-15-year clean-energy contracts, anchoring predictable cash flow.
2. Capital Structures We Arrange
| Layer | Purpose | Typical Terms |
|---|---|---|
| Construction Debt | Funds EPC milestones | SOFR/EURIBOR + 200-275 bps; up to 85 % of EPC cost |
| Mini-Perm / Term Loan | Takes out construction debt at COD | Sculpted amortisation to P50; 7-12-year tenor |
| Mezzanine Capital | Bridges equity gap, maintains sponsor control | Straight or PIK coupons 9-12 % |
| Tax-Equity / Credit Transfer | Monetises US ITC/PTC or similar incentives | Partnership flip, sale-leaseback or direct transfer |
3. Regional Track Record
| Region | Capacity Closed | Recent Highlight |
|---|---|---|
| North America | 4.2 GW | $620 M construction + term loan for a 450-MW merchant project in ERCOT |
| Africa | 1.1 GW | Blend of DFI loans and commercial debt for a 200-MW plant in Kenya, first-of-its-kind local-currency tranche |
| Asia-Pacific | 2.5 GW | Tax-equity style “Japan TK” structure for 300-MW portfolio in Vietnam |
4. Risk Controls & Covenants
- DSCR guards: Cash trap triggers at 1.15×; distribution lock-up below 1.10×.
- Currency hedging: Cross-currency swaps for African PPAs denominated in shilling or rand.
- Political-risk cover: MIGA or private insurance layered for fragile jurisdictions.
- Completion support: Parent guarantee or LC sized to 10 % of EPC contract value.
- Cyber resilience: Post-COD SCADA audits and mandatory patching timetable.
5. Execution Timeline
| Phase | Main Tasks | Duration |
|---|---|---|
| Mandate & Teaser | High-level deck, KML maps, preliminary model | 1 week |
| Term-Sheet Round | Distribute teaser to lenders, lock pricing grid | 2-3 weeks |
| Diligence | Engineer, insurance, legal, resource study | 4-6 weeks |
| Documentation & Close | Credit agreement, security filings, tax-equity docs | 4 weeks |
Next Step
Ready to launch or refinance a solar project in North America, Africa or Asia? Contact FG Capital Advisors for a term-sheet outline and a clear path to financial close.
This guide is informational. Independent legal, tax and technical advice is essential before entering any project-finance transaction.
