2026.02.27
Recently, a syndicate formed by DBS BANK LTD. and BNP PARIBAS provided cross-border project financing of up to USD 100,000,000 to Shanghai Senlu Energy Technology Co., Ltd., a domestic subsidiary of Singapore Power Group. This cross-border financing represents another non-recourse project financing milestone in the domestic new energy sector, and a successful green loan project in China's commercial and industrial distributed photovoltaic field.
Singapore Power Group has nearly 60 years of experience in energy services. They invest, construct and operate energy projects in Singapore, Australia, China, Vietnam, Thailand and other countries, and operate one of the world's most efficient and stable energy networks. With a robust investment strategy and a diverse investment portfolio, in recent years Singapore Power Group has explored diversified investment service models in the renewable energy and integrated energy management fields. They optimize capital efficiency and innovative renewable energy solutions to assist clients in the Asia-Pacific region to achieve low-carbon transformation. In China, Singapore Power Group's business footprint spans numerous provinces and municipalities, empowering sustainable development in commerce and industry with diversified green energy solutions.
One of the challenges of this distributed photovoltaic financing was the small scale of the individual photovoltaic projects within Singapore Power Group's domestic operations, leading to high individual financing costs. This project integrated dozens of projects within Singapore Power Group into a unified asset package for financing, successfully reducing financing costs for the enterprise. A fund pool model and subsequent inclusion mechanism was designed, facilitating sustainable financing for project companies within the group. This project financing is non-recourse, with the project's revenue as the primary repayment source, and the borrower did not provide other guarantees. The transaction structure established by this project financing sets an important benchmark for future renewable energy project financing in China. Additionally, this cross-border financing was a green loan project, with green finance being a crucial component of Singapore Power Group's strategy to promote clean energy development in the Chinese market. The syndicate has a mission to support green project development through innovative financial solutions, helping clients achieve breakthroughs in environmental protection and energy efficiency. This cross-border financing successfully promotes the sustainable operation of Singapore Power Group's domestic distributed photovoltaic projects and will provide valuable experience and reference for more green energy projects in the future.
JunHe was the syndicate's legal counsel and provided comprehensive support throughout the financing structure design, due diligence, transaction document drafting, and project implementation processes. The JunHe team efficiently communicated and collaborated with the syndicate and borrower teams, effectively facilitating the financing implementation. They received high recognition from the syndicate and borrower for their consistently efficient, rigorous and stable work style and their meticulous, professional service attitude.
The lead partners for this project were LIU, Dali (David), CUI, Bing (Benson) and CHENG, Yuan. GE, Aoxue and LIAO, Yueyue served as the handling consultants.
