Nephila Climate And Allianz Close Proxy Revenue Swap For Australia Solar Farms Owned By Elliott Green Power, Ltd
May 24, 2018
HAMILTON, Bermuda, May 24, 2018 - Nephila Climate ("NCx"), the weather and ESG-driven specialty division of Nephila Holdings Ltd., together with Allianz Global Corporate & Specialty SE's alternative risk transfer unit ("Allianz"), announced today that they have closed a first set of solar Proxy Revenue Swaps for two solar projects in Australia, the Susan River Solar and Childers Solar facilities. The two five-year transactions will protect the new solar projects' revenues from the financial risks associated with uncertain production volume, timing of energy generation and future energy prices.
The 98 MW Susan River Solar farm and 78 MW Childers Solar farm, owned entirely by subsidiaries of Elliott Green Power, Ltd., ("Elliott") are both located in South East Queensland, Australia. Elliott announced financial close for the projects in January 2018 and construction is expected to take nine months.
These two transactions mark the first time the Proxy Revenue Swap has been applied to a solar venture since the innovative hedging product was launched in 2016. Previously, Proxy Revenue Swap transactions have been used to de-risk wind projects.
Nephila Climate's CEO Richard Oduntan said, "NCx is delighted to see the expansion of the Proxy Revenue Swap to Australia and to solar projects. We are pleased that the availability of such customized risk capacity served a critical role in helping to de-risk these two solar projects."
Elliott Green Power's CEO, Umberto Tamburrino, added: "We are delighted to partner with NCx and Allianz on this innovative transaction, and look forward to expanding our relationship with them in the future."
Allianz's Managing Director, Karsten Berlage also noted, "We are excited to create and commercialize this new risk management tool for the solar industry following our successful provision of hedging solutions for investments in the wind sector."
Nephila Capital Ltd is a leading investment manager specializing in reinsurance risk. Nephila offers a broad range of investment products focusing on instruments such as insurance-linked securities, catastrophe bonds, insurance swaps, and private transactions. Nephila Climate (NCx) is a dedicated weather risk transfer and ESG-driven business. Nephila has assets under management of approximately $11.7 billion as of April 1 2018 and has been managing institutional assets in this space since it was founded in 1998. The firm has over 120 employees based in their Bermuda headquarters, San Francisco, CA, Nashville, TN and London. Further information can be found at www.nephila.com or www.nephilaclimate.com
About Elliot Advisors
Elliott Management Corporation manages two multi-strategy investment funds which combined have approximately $35 billion of assets under management. Its flagship fund, Elliott Associates, L.P., was founded in 1977, making it one of the oldest funds of its kind under continuous management. The Elliott funds' investors include pension plans, sovereign wealth funds, endowments, foundations, funds-of-funds, high net worth individuals and families, and employees of the firm. Elliott Advisors (UK) Limited is an affiliate of Elliott Management Corporation.
About Allianz Global Corporate & Specialty SE
Allianz Global Corporate & Specialty SE (AGCS) is the Allianz Group's dedicated carrier for corporate and specialty insurance business. AGCS provides insurance and risk consultancy across the whole spectrum of specialty, alternative risk transfer and corporate business: Marine, Aviation (incl. Space), Energy, Engineering, Entertainment, Financial Lines (incl. D&O), Liability, Mid-Corporate and Property insurance (incl. International Insurance Programs). Worldwide, AGCS operates with its own teams in 34 countries and through the Allianz Group network and partners in over 210 countries and territories, employing almost 4,700 people of 70 nationalities. AGCS provides insurance solutions to more than three quarters of the Fortune Global 500 companies, writing a total of €7.4 billion gross premium worldwide in 2017. AGCS is rated AA by Standard & Poor's and A+ by A.M. Best. For more information please visit www.agcs.allianz.com or follow us on Twitter @AGCS_Insurance LinkedIn and Google+.