Intersect Power Closes $3.1 Billion Financing for 2.2 GW Solar Plus Storage Portfolio
The transactions represent construction financing, tax equity, operating letters of credit and a portion of previously announced portfolio-level term debt with industry-leading partners.
The project portfolio includes Lumina I and Lumina II in Texas, totaling 840 MW, and Oberon I and Oberon II in California, representing approximately 685 MW and 1 GWh BESS.
These are part of Intersect Power’s late-stage portfolio totaling 2.2 GW of solar projects with 1.4 GWh of storage and are expected to be operational in 2023.
“These closures culminate a multi-year process of raising more than $6 billion to build one of the largest solar and storage portfolios our country has seen to date, which serves as a platform for the future growth of the industry. hydrogen and other decarbonization technologies,” said Sheldon Kimber, CEO of Intersect Power.
Mitsubishi UFJ Financial Group and Santander Group acted as co-lead arrangers, securing approximately $1.6 billion in construction financing with Germany’s Norddeutsche Landesbank, KeyBanc Capital Markets, Helaba, CoBank, Bank of America and Zions Bancorporation acting as joint lead arrangers.
CoBank ACB would provide the operational letters of credit to the Oberon I & II and Lumina II projects. HPS Investment Partners and co-investors have allocated the previously announced $675 million in term loan commitments.
The company has also secured $775 million in commitments from leading tax fairness investors, including Morgan Stanley Renewables Inc., an undisclosed Fortune 100 technology company, and US Bank.
In November this year, Intersect Power secured financing commitments of $2.6 billion to support the construction and operation of six projects with 2.2 GW of solar power and 1.4 GWh of storage capacity .
According to Mercom Capital First Half and Second Quarter 2022 Solar Financing and M&A Reporttotal corporate funding, including venture capital, public market and debt funding, for the solar sector in the first half (H1) 2022 was $12 billion.