Shares of ATOME PLC (AIM:ATOM) were up 7% in early trading after IDB Invest, the investment arm of the Inter-American Development Bank, released a consultation on $200 million debt funding for the company’s Villeta Project in Paraguay.
The proposed funding, an increase from earlier discussions, follows the successful completion of environmental and social impact studies, a crucial milestone for the project.
The funds will support the construction of a plant to produce 260,000 tonnes of green fertilizer annually, underscoring its importance to IDB and Paraguay. ATOME noted the debt funding proposals are now significantly oversubscribed, reflecting robust interest from institutional and multilateral lenders.
Panmure Liberum reckons the debt element of the project is three times covered with the equity tranche being finalised.
It repeated its 'buy' call and 220p price target. The stock was up 3.7p at 54.7p.