Shares in Coro Energy PLC (AIM:CORO) rose 14% to 3.75p after the South East Asian renewable energy developer announced it has received internal credit committee approval for a senior secured debt facility of up to $20 million from a leading global sustainable infrastructure investor.
The facility, which remains subject to due diligence, documentation and customary conditions precedent expected to be completed during the first half of 2026, comprises an initial committed tranche of up to $10 million and an additional uncommitted accordion tranche of up to a further $10 million subject to further approvals.
Structured as an eight-year senior secured term loan denominated in US dollars, the facility will fund up to 70% of capital expenditure across a portfolio of contracted rooftop solar and battery energy storage projects in Vietnam, secured against Coro's Vietnamese operating platform including project assets, contracts and cashflows.
The announcement marks a significant step in Coro's efforts to scale its commercial and industrial rooftop solar business in Vietnam, where the company has been building out a platform serving corporate customers seeking to reduce energy costs and meet sustainability targets.
Battery energy storage systems are explicitly included within the scope of eligible projects, broadening the potential deployment of the facility beyond pure solar generation.
Chairman Tom Richardson described the credit approval as potentially transformative for the company, saying the agreed commercial terms provide a strong foundation for continued scaling of the Vietnam platform and represent a validation of the opportunity set the company has been developing over the past six months.
The identity of the lender has not been disclosed, though Coro described it as a well-established institutional capital provider with a track record in financing renewable energy and energy transition infrastructure globally.