Deutsche Bank closes hedge for offshore wind farm in volatile markets
Deutsche Bank today announced it has successfully closed a deal contingent interest rate swap on TWD 90 billion project finance for the development of a 589 MW offshore wind farm on the coast of Changhua County, Taiwan.
Taiwan Country Chief and Head of Investment and Corporate Banking Cynthia Chan said: “Deutsche Bank is pleased to have successfully closed this deal contingent interest rate swap during extremely volatile market conditions.”
The investment consortium, led by Copenhagen Infrastructure Partners (CIP) through its funds CI II and CI III, with two Taiwan life insurers, closed the largest ever wind farm project finance in Taiwan at the end of February.
“Deutsche Bank is pleased to provide finance and a sophisticated structuring solution to support Copenhagen Infrastructure Project’s participation in the rapid development of Taiwan’s renewable energy industry.”
Dominik Thumfart, Deutsche Bank Global Co-head of TIE Origination
Deutsche Bank is the sole Pre-hedging and Sole hedging coordinator for a deal contingent hedge on notional project finance of approximately USD 3 billion (TWD 90 billion). The bank is also among 25 banks in the syndicate group of lenders. This is the second such deal contingent interest rate swap transaction delivered by Deutsche Bank for the wind farm project in Taiwan.
In 2019, the bank broke new ground for the Yunlin project, arranging and syndicating the world’s first deal contingent hedge on project finance to support investment into Taiwan’s nascent renewable energy sector. The structure won three highly respected Deal of the Year awards (Asia Risk, Energy Risk and Project Finance International) .
“Collaboration across geographies and product groups between teams in teams in Asia and Europe enabled Deutsche Bank to offer integrated risk management and financing solutions through our Global Credit Trading-Infrastructure & Energy, Structured Export Finance and Risk Solutions,” Thumfart added.
Deutsche Bank Head of Sustainability and Special Situations Group Asia, Rahul Jain, attributes these successes in managing complex risk solutions to the bank’s culture for innovation and pan-regional structuring expertise.
“Seamless teamwork across our Corporate and Investment Banks, across both product groups and geographies, enabled the successful delivery of this comprehensive and innovative risk solution for our client,” Rahul Jain
The Changfang and Xidao wind farm project off the coast of Changhua County is the latest wind energy project in Taiwan’s emerging renewables sector that has attracted foreign investors in the transition to renewable energy.
“Deutsche Bank is extremely proud to deliver this innovative risk solution, particularly as it supports European investment in Taiwan’s emerging renewable energy industry. The next decades will see significant change as industries and economies transition for a low carbon world, and Deutsche Bank is pleased to play a role in supporting Taiwan’s journey to renewable energy,” Chan added.
This transaction follows the bank’s first and award winning deal contingent hedge for a German wind farm developer in Taiwan in 2019. Last year Deutsche Bank also led the market with Taiwan’s first green bond in Taiwan dollars for foreign corporate issuer, Ørsted.
This year Deutsche Bank celebrates 40 years in Taiwan, where it holds an onshore licence and actively supports the development and deepening of Taiwan’s capital markets. The bank proudly pioneered the opening of Taiwan’s Formosa bond market where it continues to lead with foreign issuance.
For further information, please contact
Deutsche Bank AG Sarah Stabler Phone: +65 6432 8413 E-mail: sarah.stabler@db.com
About Deutsche Bank
Deutsche Bank provides commercial and investment banking, retail banking, transaction banking and asset and wealth management products and services to corporations, governments, institutional investors, small and medium-sized businesses, and private individuals. Deutsche Bank is Germany’s leading bank, with a strong position in Europe and a significant presence in the Americas and Asia Pacific.
This press release has been approved and/or communicated by Deutsche Bank AG or by its subsidiaries and/or affiliates (“DB”). Deutsche Bank AG is authorized under German Banking Law (competent authority: BaFin – Federal Financial Supervisory Authority) and by the Prudential Regulation Authority and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority.
Details about the extent of our authorization and regulation by the Prudential Regulation Authority, and regulation by the Financial Conduct Authority are available from us on request. Securities and investment banking activities in the United States are performed by Deutsche Bank Securities Inc., member NYSE, NASD and SIPC, and its broker-dealer affiliates. Lending and other commercial banking activities in the United States are performed by Deutsche Bank AG, and its banking affiliates.
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Deutsche Bank today announced it has successfully closed a deal contingent interest rate swap on TWD 90 billion project finance for the development of a 589 MW offshore wind farm on the coast of Changhua County, Taiwan.
Taiwan Country Chief and Head of Investment and Corporate Banking Cynthia Chan said: “Deutsche Bank is pleased to have successfully closed this deal contingent interest rate swap during extremely volatile market conditions.”
The investment consortium, led by Copenhagen Infrastructure Partners (CIP) through its funds CI II and CI III, with two Taiwan life insurers, closed the largest ever wind farm project finance in Taiwan at the end of February.
Deutsche Bank is the sole Pre-hedging and Sole hedging coordinator for a deal contingent hedge on notional project finance of approximately USD 3 billion (TWD 90 billion). The bank is also among 25 banks in the syndicate group of lenders.
This is the second such deal contingent interest rate swap transaction delivered by Deutsche Bank for the wind farm project in Taiwan.
In 2019, the bank broke new ground for the Yunlin project, arranging and syndicating the world’s first deal contingent hedge on project finance to support investment into Taiwan’s nascent renewable energy sector. The structure won three highly respected Deal of the Year awards (Asia Risk, Energy Risk and Project Finance International) .
“Collaboration across geographies and product groups between teams in teams in Asia and Europe enabled Deutsche Bank to offer integrated risk management and financing solutions through our Global Credit Trading-Infrastructure & Energy, Structured Export Finance and Risk Solutions,” Thumfart added.
Deutsche Bank Head of Sustainability and Special Situations Group Asia, Rahul Jain, attributes these successes in managing complex risk solutions to the bank’s culture for innovation and pan-regional structuring expertise.
The Changfang and Xidao wind farm project off the coast of Changhua County is the latest wind energy project in Taiwan’s emerging renewables sector that has attracted foreign investors in the transition to renewable energy.
“Deutsche Bank is extremely proud to deliver this innovative risk solution, particularly as it supports European investment in Taiwan’s emerging renewable energy industry. The next decades will see significant change as industries and economies transition for a low carbon world, and Deutsche Bank is pleased to play a role in supporting Taiwan’s journey to renewable energy,” Chan added.
This transaction follows the bank’s first and award winning deal contingent hedge for a German wind farm developer in Taiwan in 2019. Last year Deutsche Bank also led the market with Taiwan’s first green bond in Taiwan dollars for foreign corporate issuer, Ørsted.
This year Deutsche Bank celebrates 40 years in Taiwan, where it holds an onshore licence and actively supports the development and deepening of Taiwan’s capital markets. The bank proudly pioneered the opening of Taiwan’s Formosa bond market where it continues to lead with foreign issuance.
For further information, please contact
Deutsche Bank AG
Sarah Stabler
Phone: +65 6432 8413
E-mail: sarah.stabler@db.com
About Deutsche Bank
Deutsche Bank provides commercial and investment banking, retail banking, transaction banking and asset and wealth management products and services to corporations, governments, institutional investors, small and medium-sized businesses, and private individuals. Deutsche Bank is Germany’s leading bank, with a strong position in Europe and a significant presence in the Americas and Asia Pacific.
This press release has been approved and/or communicated by Deutsche Bank AG or by its subsidiaries and/or affiliates (“DB”). Deutsche Bank AG is authorized under German Banking Law (competent authority: BaFin – Federal Financial Supervisory Authority) and by the Prudential Regulation Authority and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority.
Details about the extent of our authorization and regulation by the Prudential Regulation Authority, and regulation by the Financial Conduct Authority are available from us on request. Securities and investment banking activities in the United States are performed by Deutsche Bank Securities Inc., member NYSE, NASD and SIPC, and its broker-dealer affiliates. Lending and other commercial banking activities in the United States are performed by Deutsche Bank AG, and its banking affiliates.
Copyright © 2019 Deutsche Bank AG. Deutsche Bank Aktiengesellschaft (Incorporated in the Federal Republic of Germany & members’ liability is limited).
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