news - Oikocredit and Triodos Investment Management join FMO in financing renewable energy in Armenia


Oikocredit and Triodos Investment Management join FMO in financing renewable energy in Armenia

July 21, 2017

FMO announces the participation of Oikocredit and Triodos Investment Management (Triodos IM) in the financing of the Vorotan hydro cascade in Armenia.

In late 2016, ContourGlobal Hydro Cascade CJSC, a hydropower project with 404MW of installed capacity in Armenia (also known as the Vorotan hydro cascade), contracted USD 140 million in long-term finance with the IFC (USD45mln), FMO (USD65mln) and DEG (USD30mln).

This syndicated, long-term financing is enabling Vorotan to rehabilitate and/or replace important parts of its electro-mechanical facilities and improve and/or upgrade its civil works. Work on these upgrades, which will extend the life of the cascade, will start in the second half of 2017 and is expected to be completed in 2023.

The Vorotan hydro cascade has three powerhouses, which became operational in 1970, 1979 and 1989. It generates approximately 15% of all electricity produced in Armenia each year. This project is the single largest producer of green electricity in Armenia. 

In early 2017, Oikocredit and Triodos Investment Management were invited by FMO to participate in this transaction. In June, Oikocredit and Triodos IM signed participation agreements with FMO, each for an amount of USD 9 million.

These participation agreements show and confirm the on-going commitment of Oikocredit and Triodos IM to finance renewable energy projects in countries like Armenia. It also underpins FMO’s strategic focus on mobilizing and catalyzing long-term funds with partners like Oikocredit and Triodos IM.

About Oikocredit
Oikocredit has over 40 years’ experience in development finance, funding partner organisations active in inclusive finance (including microfinance), agriculture and renewable energy. Through its loans and investments Oikocredit aims to support partner organisations in helping low-income people to sustainably improve their living standards. Oikocredit finances more than 800 partners in almost 70 countries and its outstanding capital totals € 1.05 billion.

About Triodos Investment Management
Triodos Investment Management connects a broad range of investors who want to make their money work for lasting, positive change with innovative entrepreneurs and sustainable businesses doing just that. In doing so, Triodos Investment Management serves as a catalyst in sectors that are key in the transition to a world that is fairer, more sustainable and humane.

With its professional investment teams, Triodos Investment Management has built up in-depth knowledge throughout 25 years of impact investing in sectors such as Energy & Climate, Inclusive Finance, Sustainable Food & Agriculture, Arts & Culture, and Sustainable Real Estate. Besides the direct impact investments in these sectors, Triodos Investment Management also invests in listed companies with an above-average environmental, social and governance (ESG) performance. Assets under management as per end of 2016: EUR 3.3 billion.
Triodos Investment Management is a globally active impact investor and a wholly-owned subsidiary of Triodos Bank NV.

About ContourGlobal
ContourGlobal is an international power-generation company with approximately 4.1 GW of gross capacity in operation in 19 countries and on three continents. ContourGlobal’s portfolio comprises 69 thermal and renewable power plants utilizing a wide-range of technologies, which is operated by over 2,000 employees.

Share this page