Library Deals Done
Intrinergy Wiggins$5,000,000
Corporate Finance Tax-Exempt DebtFebruary, 2008
Deal Team:
Goodloe White, Jim White
Intrinergy retained Porter, White & Company as its financial advisor in connection with the sale and issuance of Gulf Opportunity Zone Revenue Bonds to fund the development of its wood biomass fired steam plant in Wiggins, Mississippi. The facility sells steam to Coastal Paper Company’s adjacent tissue mill. By replacing Coastal’s use of natural gas in its manufacturing processes, Intrinergy provides Coastal with a lower energy cost and decreased reliance on natural gas.
To structure the bonds, Porter, White & Company assisted Intrinergy in compiling and documenting the necessary components of project financing, including in-depth financial modeling and analysis, reviewing construction and energy sales contracts, structuring feedstock supply contracts, and arranging for an independent engineer review and market study.
In connection with the marketing of the bonds, Porter, White & Company assisted Intrinergy in negotiating an underwriting agreement, responding to information requests from the issuer, and responding to questions from potential bond purchasers.
The transaction was Intrinergy’s first attempt to access the public debt markets in the US and was completed in the midst of the “subprime mortgage”crisis.
