Renewable energy company Ram Power Corp said the World Bank's International Finance Corporation (IFC) has proposed to arrange USD 216 million in debt financing for the company's 72 megawatt geothermal project in Nicaragua. Under the non-binding terms of a mandate letter, IFC proposed to lend up to USD 40 million and arrange for the balance on a syndicated basis, Ram Power said in a statement. The IFC has also indicated that it may consider providing an additional USD 20 million in mezzanine debt or possible equity to the project, Ram Power said. Mezzanine debt comes with a fixed interest rate and warrants tied to a company's equity. Ram Power expects to complete construction and commissioning of the full 72 MW San Jacinto Tizate facilities by 2011, it said. (Reuters)
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