CMS Sofia acted as legal advisor to DSK Bank AD, in its capacities as Original Lender, Facility Agent, Security Agent, Account Bank and Hedge Counterparty, in connection with the approx. EUR 122 million multi-tranche project financing granted to KRONOS-BIOTOP for the development, construction, and operation of a combined photovoltaic and battery energy storage portfolio in Bulgaria. This represents one of the largest single-Bulgarian lender financings to date.
The financing, made available under five separate facilities with aggregate total commitments of approx. EUR 122,000,000, will support the completion and operation of: (i) a photovoltaic power plant with a total installed capacity of 80.31 MW located near the village of Hadzhidimitarovo; (ii) BESS 1, a battery energy storage system with a capacity of 120.36 MWh; and (iii) BESS 2, a battery energy storage system with a capacity of 320.96 MWh, also located in Hadjidimitrovo, Bulgaria. The facilities include term loan tranches for financing and refinancing of project costs, together with dedicated VAT facilities in respect of each battery storage asset. The transaction represents a significant contribution to the expansion of Bulgaria's renewable generation and energy storage capacity, and to the country's transition toward a more sustainable and resilient energy system.
CMS provided comprehensive legal support to DSK Bank AD throughout the transaction, including structuring and negotiating the finance and security documentation, advising on the conditions precedent and drawdown mechanics across the multiple facilities, and assisting through to signing, ensuring a smooth and efficient process for all parties involved. The borrower group was supported by its own advisors in connection with the financing and the underlying project documents.
