Altus Power to Acquire 220 MW of Solar Assets for $293 Million in US
Acquisition to aid the firm’s entry into two new clean energy markets in America
December 28, 2022
U.S.-based independent developer, owner, and operator of commercial-scale solar projects, Altus Power, entered a definitive agreement to acquire about 220 MW of solar assets for ~$293 million from the funds managed by True Green Capital Management.
The transaction to acquire the solar assets under construction is expected to close during the first quarter of 2023.
The solar assets will help Altus Power scale its renewables portfolio in its major existing markets, including California, Colorado, Illinois, Massachusetts, New Jersey, and New York.
Additionally, the solar power developer will enter the Delaware and South Carolina clean energy markets with the acquisition.
Altus said it aims to fund the transaction with its long-term funding facility led by the U.S.-based investment management firm Blackstone Structured Finance and with cash in hand.
Initially, the transaction will add approximately 207 MW of commercial scale-solar assets to Altus’ operations, with the remaining 13 MW to be added in the final stages of the construction.
The company aims to use solar assets to offer additional electrification solutions, including battery storage and electric vehicle or fleet charging stations.
Co-CEO of Altus Power Gregg Felton said, “True Green Capital has a long history of successfully investing in commercial-scale solar with underwriting standards consistent with our own. Altus Power’s strengths in asset on-boarding and long-term customer servicing combined with our scalable funding architecture create a natural partnership.”
Managing Partner and Co-Founder of True Green Capital Panos Ninios commented, “Altus Power’s capacity to execute with efficiency and focus on building long-term relationships has made them an extremely valuable partner in both of our transactions. They share our founding belief that commercial-scale distributed solar generation is the most attractive segment of our industry. Our collaboration has facilitated TGC’s successful forays into new solar markets.”
Earlier this year, Altus Power announced the signing of definitive agreements to acquire around 97 MW of operating solar assets from undisclosed sellers for $220 million through a combination of cash and assumed liabilities.
Last October, the company completed a sale-leaseback tax equity financing amounting to $42 million for several unspecified solar projects in Minnesota and Massachusetts.