MARF registers a bond issue programme by Ekondakin Energía y Medioambiente

• Seventh bond issue in the Project Bond segment, one of MARF’s most dynamic, for a total of €524 million in this Market.
• A pioneering formula for funding new infrastructures under construction – Greenfield Phase –
• For the construction of a waste management plant in Zubieta, Guipúzcoa

The Mercado Alternativo de Renta Fija (MARF) has registered a new Bond Issue Programme by Ekondakin Energía y Medioambiente for a maximum amount of €80million, the seventh bond issue in the Project Bond segment, one of the market’s most dynamicthat currently reaches€524 million listed.

This Programme is part of an investment of €191 million in total earmarked for the construction of what will be the main plant for waste treatment, recycling and electricity generation, waste to energy, in Guipúzcoa, and whose construction will be financed through a combination of bond issues and loans, an innovative formula for funding new greenfield infrastructures through MARF.

Under the Programme, Ekondakin will make successive monthly issues that will correspond to the payment milestones set out in the plant’s construction calendar, scheduled for end-2019. Once the plant is in operation the bonds will have progressive amortisations through nominal reduction until 2047. The coupon will be 3.662%, to be paid monthly during the first three years and semiannually until its final maturity.

The operation has been granted a BBB- rating, with positive outlook, by Axesor Rating,

BBVA has been designated Joint Agent of the investors and lenders, Security Agent, and Accounts Bank and Payments Agent for the Programme. Intermoney will act as a Registered Advisor in MARF.

The legal advisor of the issuer in this transaction has been Cuatrecasas Gonçalves Pereira while Gómez-Acebo & Pombo has advised the investors who will participate in each of the issues to be made.

Ekondakin Energía y Medioambiente is a company formed by Meridiam Investments (50%), Urbaser (46%), Construcciones Moyua (1%), Construcciones Murias (1%), Altuna y Uría (1%) and LKS Ingeniería (1%) for the construction of the "Complejo Medioambiental de Guipuzcoa Fase 1", located in the industrial area of ​​Arzabaleta (Zubieta), Guipúzcoa.

The project was signed off by the Guipúzcoa Management Waste Consortium and the issuer in April 2017 and will have two independent plants for the biological and mechanical treatment of waste -MTB- and electricity production -WTE-. The two plants are expected to have a total treatment capacity of more than 200,000 tons / year of waste. The contract establishes a payments system that will operate on availability basis and per-ton processed during the operation phase.