FIRST SOLAR, INC. (NASDAQ:FSLR) Files An 8-K Other EventsItem 8.01.Other Events
On May 11, 2018, FS NSW Project No 1 Finco Pty Ltd, a limited liability project financing company organized and existing under the laws of Australia and an indirect wholly-owned subsidiary of First Solar, Inc., entered into a term loan agreement with MUFG Bank, Ltd.; Société Générale, Hong Kong Branch; and Mizuho Bank, Ltd. (the “Credit Facility”). The Credit Facility provides for aggregate borrowings of up to AUD 151.0 million ($113 million) and has been entered into for the development and construction of a photovoltaic power plant of up to 87 MWAC located in New South Wales, Australia.
The Credit Facility consists of an AUD 140.0 million ($105 million) construction loan facility, an AUD 7.0 million ($5 million) goods and service tax facility (“GST facility”) to fund certain taxes associated with the construction of the project, and an AUD 4.0 million ($3 million) letter of credit facility. The construction loan facility bears interest at 1-month Bank Bill Swap Bid Rate (“BBSY”) plus 1.55%, the GST facility bears interest at 1-month BBSY plus 1.00%, and the letter of credit facility bears interest at 1.10%. Interest on the construction loan facility and the GST facility is payable monthly, and interest on the letter of credit facility is payable quarterly. Upon completion of the project’s construction, the construction loan facility will convert to a term loan facility, which bears interest at 3-month BBSY plus 1.45%, payable quarterly. The term loan facility matures in May 2023, and the GST facility matures in May 2020. The Credit Facility is secured by pledges of the borrower’s assets, accounts, material project documents, and by the equity interests in the entity. The Credit Facility contains customary representations and warranties, covenants, and events of default for comparable construction loan facilities in Australia.
About FIRST SOLAR, INC. (NASDAQ:FSLR)
First Solar, Inc. is a provider of photovoltaic (PV) solar energy solutions. The Company designs, manufactures and sells PV solar modules with thin-film semiconductor technology, and also develops, designs, constructs and sells PV solar power solutions. The Company operates through two segments: components and systems. The Company’s components segment designs, manufactures and sells solar modules, which convert sunlight into electricity. The Company’s systems segment provides PV solar power systems or solar solutions for systems, which use the Company’s solar modules. The Company provides operations and maintenance (O&M) services to plant owners that use solar modules manufactured by the Company or by other third-party manufacturers. The Company has approximately 30 manufacturing lines around the world and over 2.8 gigawatts (GW) of annual manufacturing capacity with lines having a production capability of approximately 2,500 modules per day.
