NH (Nonghyup) Bank announced on May 8 that it held a ceremony at Lotte New York Palace Hotel on May 7 (local time) for the financing of a power plant project in Niles, the United States worth $590 million.
The project calls for building and operating a 1,085-MW gas combined thermal power plant with a total project cost of $1.05 billion around Michigan, the U.S. When operation is started in March 2022, it will supply electricity to PJM (Philadelphia, New Jersey, Maryland), which is the biggest power market in North America.
Southern Power Co. and Daelim Energy Co. will participate as strategic investors (SIs), and the role of global financial mainstay institutions to recruit senior loans will be jointly played by NongHyup Bank, NH Investment & Securities Co., BNP Paribas, Credit Agricole, Nomura Securities and Hana Financial Investment Co.
Korea Southern Power Co. and Daelim Energy are participating as strategic investors. NH Bank, NH Investment & Securities Co. and Hana Financial Investment Co., along with Japan’s Nomura Securities Co. and France’s BNP Paribas are in charge of joint financing.
NH Bank formed a consortium with NH Investment & Securities from the start of the selection process for the main financial institutions in January this year and actively utilized the cooperative structure among NH affiliates. Through this process, the company has not only secured financial arranging rights but also completed successful financial procurement.
Yoo Yoon-dae, vice president of NH Bank's corporate investment and finance division, stressed that the bank will faithfully play its role as a partner in overseas business based on its continued partnership with Korea Southern Power, a major shareholder of the project.
He added that if local companies need financial procurement, NH affiliates, led by NH Bank, will actively support investment.
