Pension Insurance Corporation (PIC) has made its first investment in the Spanish solar energy sector by investing £190m (€222m) in solar bonds.

The insurer of defined benefit pension funds said it provided the debt funding for 21 solar parks owned by Q-Energy, which further benefit from the Spanish regulatory framework for the full term of the bond.

The funds will be used to refinance existing debt.

Florence Carasse, debt origination manager at PIC, said: “This is PIC’s first investment in Spanish solar renewable energy, a sector that benefits from a technology that is commercially proven worldwide and an improving regulatory regime.”

PIC made its first renewable energy investment in 2012 and has made a total investment of £700m in the sector to date.

Carasse said renewable energy is an increasingly attractive sector for PIC’s long-term investments providing secure and stable cash flows and this deal builds on PIC’s earlier investments in wind and solar energy in the UK.

Daniel Parejo, head of M&A and financing at Q-Energy, said: “This is another major investment for us in the Spanish renewable energy sector and we are delighted to work with PIC to strengthen our presence in this important and thriving sector.

“PIC impressed us with their flexibility and thorough understanding of the market.”