Law firm Stephenson Harwood LLP has advised Yellow Door Energy Limited (Yellow Door Energy) on a US$31.2 million financing deal. The funding will be used for the development, construction and operation of eight solar plants in Jordan.

The transaction involved three companies – The European Bank for Reconstruction and Development (EBRD), the Global Environment Facility (GEF), and DEG, the German development finance institution – which lent Yellow Door Energy a total of US$31.2 million senior secured loans. EBRD and DEG provided a US$10.6 million loan in local currency. This local currency financing was complemented by a loan of US$5 million, provided by GEF, a parallel US$15.6 million senior loan in local currency from DEG, and an equity contribution from Yellow Door Energy. The deal will be supported by donor funding from Spain and the European Union.

Yellow Door Energy is a UAE-based sustainable energy provider, which has more than 110 megawatts of solar assets currently operating, or under construction, in the UAE, Jordan, and Pakistan. The eight solar plant projects, with a total capacity of 48.3 MW capacity, will generate around 81 GWh of renewable energy, while reducing 49,000 tons of carbon dioxide emissions annually.

"I am pleased to have led our team in once again supporting Yellow Door Energy on a strategic deal, as it continues to expand its operations in the MENA region," said Nijoe Joseph, partner, Stephenson Harwood. "This was an exciting matter on which to advise, as it represents the largest portfolio of private-to-private renewable projects that directly supply the private sector, under Jordan's Wheeling Regulations. Our long-standing experience enabled us to provide market-leading expertise on the transaction, which required a complex, innovative structure, and involved a number of organisations."

The Stephenson Harwood team was led by partner Nijoe Joseph, who was supported by associates Kara Conneely and Chinar Zaidi.