BBVA consolidates its activity in sustainable financing by participating as Coordinating Lead Arranger in a USD 1,5 billion financing for Acelen Renewables, supporting the development of a renewable fuels plant in Brazil. The project, one of the most relevant sustainable aviation fuel (SAF) and Hydrotreated Vegetable Oil (HVO) initiatives in the region, is expected to accelerate the decarbonization of the aviation sector, a key challenge in the global energy transition, and marks the bank’s first global transaction in this segment.
This is a project led by Acelen Renewables, a company backed by Mubadala Capital, which involves the development of a sustainable aviation fuel and renewable diesel production plant in Brazil, with an approximate capacity of 20,000 barrels per day. The transaction represents one of the largest financing deals in Latin America linked to sustainable fuels. In this context, BBVA has played a key role in structuring and syndicating the financing, reinforcing its ability to participate in complex transactions with global impact.
The transaction has been structured as a joint financing between international commercial banks and development finance institutions (DFIs), combining different instruments under a blended finance framework. This collaboration reinforces BBVA’s role in structuring complex financial solutions together with multilateral institutions and in mobilizing capital towards energy transition projects.
The plant will be mainly oriented towards the European and U.S. markets and will directly contribute to the decarbonization of the aviation sector, one of the most difficult segments to abate in terms of emissions. In this context, sustainable aviation fuel (SAF) is emerging as a key alternative to reduce the carbon footprint of air transport, with growing development at a global level.
“This transaction represents a significant step for BBVA in advancing its commitment to the energy transition within an emerging market such as SAF. Beyond its scale, the project reinforces SAF as a key lever for the decarbonisation of air transport and helps position Brazil as a market with significant potential in sustainable fuels”, says Carlos López Rabadán, Managing Director, responsible for Project Finance South America. “Our participation underscores the bank’s ability to structure highly complex financial solutions and to support our clients in projects with long-term impact.”
“BBVA has been a key strategic partner in structuring and enabling this financing, demonstrating deep commitment to the project and to the advancement of sustainable finance. Together, we are advancing one of the most relevant initiatives for the future of aviation and contributing meaningfully to the acceleration of the global energy transition. This is a milestone for Acelen Renewables, for Brazil, and for the development of sustainable fuels at a global scale”, said Luiz de Mendonça, CEO of Acelen Renewables.
With this transaction, BBVA consolidates its positioning in sustainable infrastructure and cleantech financing, and strengthens its presence in Latin America. Entry into SAF also represents a significant step in diversifying its activity towards new technologies that are key to the energy transition, reinforcing its positioning as a leading financial partner in projects with sustainable impact on a global scale.