JCM Power announces closing of US $116 million institutional equity offering

Dec. 18, 2019 – JCM Power Corporation (JCM Power) announced today that it has closed its first institutional equity offering – securing a total of US $116 million in commitments from five development finance institutions, including FMO (the Dutch development bank), Swedfund (the Swedish development finance institution), IFU (the Danish development finance institution) through the Danish SDG Investment Fund, STOA Infra & Energy (a French company jointly owned by CDC and AFD), and FinDev Canada (the newly formed Canadian development finance institution).  The offering also included participation from prominent Canadian family offices and foundations.

JCM Power had previously secured commitments from FMO (US $25 million in 2017) and Swedfund (US $15 million in 2018) and is announcing the closing of US $76 million in new commitments from Swedfund, IFU, STOA Infra & Energy, FinDev Canada, and its Canadian family office investors.  Of note, a US $20 million commitment from FinDev Canada marks its first ever investment in a Canadian company.

“We are very excited to be working with JCM Power as a Canadian leader in sustainable clean energy projects” said Suzanne Gaboury, Chief Investment Officer at FinDev Canada, “We hope we can contribute to JCM Power’s continued expansion and ability to attract additional investors, including other Canadian institutions.”

JCM Power is a Canadian-based renewable energy independent power producer developing and operating renewable energy projects in Africa, South Asia and Latin America. JCM Power aims to establish long-term partnerships with local communities, governments and financial institutions to build and operate clean energy projects in markets where economies are growing rapidly and electricity is currently scarce, but sun and wind are abundant.

“JCM Power is thrilled to complete its first large institutional equity offering with the leading strategic investors in our industry. The capital raised will allow us to implement the first six high impact renewable energy projects and also serve to accelerate our growth from a development company into a globally diversified independent power producer focused in high growth markets” said Christian Wray, CEO of JCM Power.”

In JCM Power we are convinced that we have found a strong partner with the ability to push renewable projects to bankable businesses, which is imperative for supplying developing countries with more clean energy, combating global warming as well as poverty.  We are looking forward to our cooperation, which we believe will be of mutual benefit, said Torben Huss, CEO of IFU.

“Financing renewable energy is one of the cornerstones of our investment strategy and we are very pleased to be able to increase our commitment to JCM Power, in particular given its strong commitment to making a tangible impact in the local communities”, says Maria Håkansson, CEO of Swedfund.

Commenting further, Charles-Henri Malecot, CEO of STOA, underlined the positive long-term impacts of this transaction: “This investment is in support of our strategy to foster the development of renewable energy projects and to scale up climate resilient initiatives in Africa and in emerging countries.”

JCM Power was advised with respect to the financing strategy for its transition from a Canadian developer to a Global Independent Power Producer of Renewable Energy, by Mark Weisdorf Associates, LLC.

About JCM Power

JCM Power is an independent power producer (IPP) dedicated to accelerating social, economic and environmental sustainability in growth markets through the development, construction and operation of renewable energy infrastructure. Our driving vision is to advance the clean energy age. For more information please visit www.jcmpower.ca

About FMO

FMO is the Dutch development bank. As a leading impact investor, FMO supports sustainable private sector growth in developing countries and emerging markets by investing in ambitious projects and entrepreneurs. FMO believes that a strong private sector leads to economic and social development and has a more than 45-year proven track record of empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With a committed portfolio of EUR 9.8 billion spanning over 92 countries, FMO is one of the larger bilateral private sector developments banks globally. For more information please visit www.fmo.nl

About Swedfund

Swedfund, is the Swedish Development Finance Institution, providing risk capital, expertise and financial support for investments in local companies in developing markets. Swedfund’s mission is poverty reduction through sustainable business, contributing to economic and environmental development as well as a positive impact to society. Swedfund’s investment strategy rests on three main pillars: impact on society, sustainability and financial viability. Since 1979 Swedfund has been engaged as an active, responsible and long-term investor in more than 260 companies worldwide. For more information please visit www.swedfund.se

About IFU

IFU, is the Danish Investment Fund for Developing Countries offering risk capital and advisory services to companies in Africa, Asia, Latin America and parts of Europe. Investments are made on commercial terms in the form of share capital, loans and guarantees. The purpose is to promote economic and social progress in the investment countries.

To further support the UN Sustainable Development Goals, IFU has in collaboration with several Danish pension funds and institutional investors set up the Danish SDG Investment Fund with a total capital commitment of EUR 650 million.

In total IFU has been engaged in close to 1,300 investments covering more than 100 developing countries. Total capital under management is EUR 1.5 billion. For more information please visit www.ifu.dk

About STOA Infra & Energy

STOA is a joint stock company (société anonyme) with a share capital of EUR 240,000,000, 83.3% owned by Caisse des Dépôts (“CDC”) and 16.7% owned by Agence Française de Développement (“AFD”), the object of which is to invest up to EUR 600,000,000 in equity and quasi equity in developing and emerging countries in the infrastructure and power sectors. STOA benefits from the complementary support and expertise of its two shareholders. Caisse des Dépôts is a public long-term investor serving the general interest and economic development of local areas, AFD is the French Public Development Bank which commits financing to projects in key transition sectors in developing and emerging countries. In the context of their common strategy, these two institutions are fully committed to play a key role in the four material transitions, i.e. the power/environmental, digital, territorial and demographic transitions. For more information please visit www.stoainfraenergy.com

About FinDev Canada

The Development Finance Institute Canada Inc., operating under the FinDev Canada brand, is a Canadian institution dedicated to providing financial services to the private sector in developing countries with the aim of combating poverty through economic growth by focusing on three main themes: economic development through job creation, women economic empowerment, and climate change mitigation. The Development Finance Institute Canada Inc. is a wholly owned subsidiary of Export Development Canada (EDC). For more information please visit www.findevcanada.ca