Herbert Smith Freehills has advised Energea Global LLC ("Energea"), an American renewable energy project developer and operator, on its joint venture with VH Global Sustainable Energy Opportunities plc (“GSEO”), an international renewable energy fund listed on the London Stock Exchange, to develop 18 remote distributed solar generation projects across Brazil with a total capacity of 75MW.
The securing of investment and a partner with extensive experience in renewable energy investments across the world is a key milestone for Energea's expanding renewable energy offerings in Brazil.
In the joint venture, GSEO has put forward an US$63m equity commitment over a number of tranches to co-invest in projects developed by Energea that are at the ready-to-build stage. Energea will also be the operator and can introduce further program assets for the JV company's approval. Ancillary agreements included an Operating Services Agreement prepared by local Brazilian counsel under Brazilian law.
Herbert Smith Freehills' London Corporate team was led by Laura Hulett and supported by senior associate Eliza Eaton advising on the joint venture and connected agreements. Aurell Taussig and Joshua Lom provided assistance on tax matters.
Laura Hulett, corporate partner, commented: "We are delighted to have supported Energea in securing this vital investment and joint venture partner for its continued development of its renewable energy offerings in Brazil. It shows, once again, how our team combines its expertise in renewable energy with corporate expertise."
Pedro Rufino Carvalho, Co-Head of the Latin America Group, commented: "Brazil continues to be an exciting market providing many opportunities to international investors in renewable energy. This transaction further demonstrates the strength, depth and capability of our renewable energy practice in Latin America. It is the latest example of our work on high profile transactions and adds to the firm's established energy practice across the continent."
GSEO was advised by Norton Rose Fulbright on English law aspects of the transaction and Mattos Filho on Brazilian law aspects of the transaction. Lobo de Rizzo provided Brazilian law advice to Energea.