Waga Energy secures CA$25m loan to refinance three Canadian RNG units
France-headed Waga Energy SA, a leader in renewable natural gas (RNG) production from landfill sites, has announced it has secured a CA$25 million project finance loan from financial services companies Equitable and The Empire Life Insurance Company.
This 19-year term loan will be used to refinance the three “WAGABOX” units currently operating in Saint-Étienne-des-Grés, Chicoutimi, and Cowansville, Québec (QC), which represent a cumulative annual installed capacity of 185 GWh (666 TJ).
According to a statement, the financing will be used to repay construction debt and strengthen the Group’s cash position, to support the development of new RNG production projects in Canada and internationally.
This is Waga Energy’s first refinancing in Canada. As of today, Waga Energy operates seven plants in North America and has 13 more under construction in Canada and the United States.
We are grateful to Equitable and Empire Life, two leading Canadian financial services companies, for their trust and support. Securing our first non-recourse project finance in Canada marks a significant milestone for Waga Energy. The longest maturity ever achieved on this loan by Waga Energy is a strong endorsement of the strength of our business model and our proven ability to generate predictable, long-term cash flows through contracted operations, said Jean-Michel Thibaud, Deputy CEO and Chief Financial Officer of Waga Energy.
Selkirk Advisory Group acted as financial advisor to Waga Energy. Law firm McCarthy Tétrault acted as legal advisor to Waga Energy, while Stikeman Elliott advised the lenders.
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