Acting as a third-party advisor, 3E carried out a technical due diligence of the Voltaire portfolio, ensuring its viability, performance and compliance with industry standards. The audit included reviews of plant designs, technology, long-term yield estimates and financial model. Through its report, 3E managed to build confidence among investors and financiers regarding the long-term success and profitability of the project, helping WATT & CO successfully achieve its investment target.
Financing success: key figures
This financing operation was conducted for WATT& CO’s Voltaire portfolio, made up of 141 photovoltaic power plants in development and construction phases. The projects are located in France, and cover rooftops and parking lot canopies. The combined projects’ total power will amount to 32 MWp.
With support from 3E, WATT & CO secured €38 million in financing, bringing the total investment to €165 million. This substantial funding enables the company to proceed with projects that are expected to avoid 36,780 tonnes of CO2 emissions per year. Thus consolidating the group’s commitment to the energy transition in France.
How 3E facilitated the process
To ensure that the desired investment was achieved, WATT & CO asked 3E to carry out an independent technical audit of the Voltaire portfolio. The purpose of this audit was to identify and mitigate any potential risks, linked to the design, technology, performance and contracts, and to verify that the results, assumptions, models and dataused in the financial model and yield assessments were accurate.
The audit included:
- A review of the yield estimates (P50 and P90).
- An extrapolation of performance evaluation.
- A technology review.
- A design review.
- A contract review.
- A technical review of the financial model.
- A performance analysis.
Due to the large number of plants (141), it was worth considering the portfolio effect when calculating the yield estimate. The portfolio effect underpins that the more diverse the portfolio, the lower the overall variability of the production. In other words, the portfolio effect allows to reduce uncertainties at portfolio level, thereby decreasing financialrisk for potential investors. Hence, including this effect into our calculations was essential.
By conducting this technical due diligence as an independent advisor, 3E helped to assure investors and financiers that their investments would be secure and would yield the expected returns.
Thoughts from WATT & CO
After closing this financing operation, WATT & CO was delighted with 3E’s contribution. In particular, Charline Bückendorf-Nhansana, the group’s Financial Manager, her team and Arthur Jimenez, the group’s Development Manager, were delighted with 3E’s helpful communication, valuable advice, as well as the quality of its technical review.
Charline Bückendorf-Nhansana stated that:
“The 3E consultants made this whole process run as smoothly as possible thanks to their flexibility, open communication and crucial advice regarding risk mitigation.
The quality of the final report they delivered was essential for securing the senior debt. Thanks to 3E’s clear, detailed and transparent assessment of the technical aspects of our portfolio, as well as their actionable recommendations and justifications for any identified concerns, we successfully secured the financing for our portfolio.
Overall, our experience working with the 3E team was excellent, and we are highly satisfied with the results they achieved. We look forward to collaborating with them again in the future.”
Helping you make better decisions
3E’s mission is to help developers, asset managers, operators, investors, public entities, EPC contractors and IPPs maximise the value of their renewable assets.
For 25 years, 3E has been delivering technical, financial and strategic advisory services, helping its clients to make informed decisions across the full lifecycle of their projects – whether that’s solar,wind or energy storage.
For other examples of our work, you can find more project references and client testimonials at our resource page. Or if you request our capability statement via this contact form, we’ll be happy to send you a comprehensive overview of our past projects.
