Clifford Capital leads in project financing for Sembcorp's Bangladesh power project

SINGAPORE-BASED Clifford Capital took the lead in extending project financing to Sembcorp Industries' Sirajganj power project in Bangladesh.

The project is the first green-field project financing concluded between the two parties.

Clifford Capital laid claim to extending the longest loan tenor for project financing in Bangladesh with the conclusion of this deal with Sembcorp.

The company in a statement on Thursday said the US dollar-denominated financing package comprises a combination of fixed and floating rate loans.

Jointly provided by International Financing Corporation and Commonwealth Development Corporation, the loans will benefit from credit enhancements from IFC and a partial risk guarantee from the Multilateral Investment Guarantee Agency. Clifford Capital, IFC and CDC each have a share of US$103 million in the total project finance debt.

The power plant will be developed by Sembcorp North-West Power Company, a joint venture between Sembcorp Utilities and Bangladesh's state-owned North-West Power Generation Company.