Of the many challenges in financing renewable energy projects, cost of capital, trading of assets (liquidity) and cost of due diligence of these assets stand out together in terms of their long-term impact. Since they are interconnected, we have designed the SPREAD platform that addresses these challenges and accelerates renewable energy financing. It allows project developers and IPPs to discover the low cost of capital by showcasing their project to investors across the globe. The due diligence data room on the platform allows the investors and the project owner (developer/IPP) to reduce their 3-6 months’ due diligence process to over 1 month.
SPREAD platform allows Asset Portfolio Managers to create pools of renewable energy assets of the same asset class which is based on the nature of these assets such as but not limited to location, capacity factor, regulatory environment etc. Leveraging the SPREAD platform the Asset Portfolio Managers can create a flexible instrument that could encompass a variety of financial structures (similar to a quasi-liquid private bond), tailored to the renewable energy financing market and to investors’ preference and specific country needs. It could range from simple project debt pass through to a full securitization structure.
SPREAD platform responds to institutional investors’ need for high yielding investment-grade assets, which could be met through an increase in both the scale and number of investable securities in the renewable energy markets. By creating liquidity in the secondary market, SPREAD aims to enable project lenders to provide more and cheaper financing to small to mid-size renewable energy projects.
SPREAD leverages the Distributed Ledger Technology (DLT) and tokenization to provide greater transparency, ease of trading, and immutability of information to all stakeholders.
We Support SDG 7
Our team is actively involved in supporting the Sustainable Development Goal 7 - AFFORDABLE AND CLEAN ENERGY of The Global Goals by being a major catalysts for the investments in the small to midsize renewables energy projects globally. According to BNEF’s (Bloomberg New Energy Finance) New Energy Outlook 2017, between 2017 and 2040, we will double the Installed Capacity from 6,719 GW to 13,919 GW. In order to match the forecasted energy demand in 2040, our society needs to invest 1 Bn $ in new capacity per day on average in the coming years. Micro, small and medium installations will represent 25% of the installed capacity which equates to ~250 Mn $ investment per day on average.
Our model is to stimulate renewable energy deal flow and engage institutional investors in the financing of renewable energy projects. SPREAD responds to institutional investors’ need for high yielding investment-grade assets, which could be met through an increase in both the scale and number of investable securities in the renewable energy markets. By creating liquidity in the secondary market, SPREAD aims to enable project lenders to provide more and cheaper financing to projects.
In next 5 years SPREAD aims to mobilize 8 to 10 Bn $ of cumulative investments, and will create the new installed capacity of around 10 GWs of renewables. Through spread, these projects will theoretically reduce emissions by 1 Gigatonne on a yearly basis from the environment.
If you are a Renewables Energy Project Developer interested in engaging with global investor for financing/ refinancing your project/s OR an Asset Portfolio Manager interested in creating high yield portfolio of green assets OR an Accredited Investor/ Institutional Investor/ Social Impact Investor interested in investing into high IRR renewable energy projects then SPREAD is the perfect platform for you.