Funding and M&A Roundup: China Three Gorges Acquires 500 MW of Solar Assets From X-Elio

Sonnedix announced the completion of a subordinated financing of 62 solar projects in Spain

August 24, 2020


From: Mercom Capital Group

Here are some of the important funding and M&A updates of last week from the global renewable energy industry:

Sembcorp Industries has obtained a $40 million loan facility from DBS Bank to build a 60 MW floating solar PV system on Tengeh Reservoir in Tuas. The bank is the sole financier for the project. The project is slated to be completed by 2021.

Duke Energy Renewables, a subsidiary of Duke Energy, announced the closing of $109.4 million in a preferred tax equity funding from Goldman Sachs’Alternative Energy Investing Group. The investment will be used over 18 months to fund a diverse portfolio of approximately 75 MW of solar and solar plus storage projects. The projects will be developed and constructed by Duke Energy Renewables’ subsidiary REC Solar. Projects will feature ground-mounted and rooftop commercial and industrial projects, as well as community solar projects across several different states, including Arizona, California, Colorado, Hawaii, Massachusetts, and Texas.

Sonnedix, an independent solar power producer, announced the completion of a subordinated non-recourse financing of 62 solar PV projects in Spain, with a total installed capacity of 154 MW, at a value of €154 million (~$183.47 million). The financing included long-term bank debt facilities in which ING, Nomura, and Santander acted as Mandated Lead Arrangers. Grupo Cajamar joined the MLAs to complete the syndicate of four lenders. ING and Santander acted as the hedging banks and Santander acted as the facility agent.

Flux Power Holdings, a developer of advanced lithium industrial batteries for commercial and industrial equipment, announced the closing of an underwritten public offering of 3,099,250 shares of common stock priced at $4.00 per share for gross proceeds of approximately $12.4 million. This includes the full exercise of the underwriters’over-allotment option to purchase additional shares, before deducting the underwriting discount and offering expenses payable by Flux Power.

Sunrun and Vivint Solar announced that Coatue US 24 has entered into a Stock Purchase Agreement with 313 Acquisition (Blackstone Affiliate) to purchase approximately 11.62 million shares of Vivint Solar’s common stock at $21.50 (~₹1,609) per share in a private transaction. Coatue also entered into a lock-up agreement to not transfer the shares it acquires from 313 Acquisition for 120 days following the closing of the merger. According to the press release, Sunrun and Vivint Solar did not sell any shares of common stock in the transaction.

Canadian Solar, announced its wholly-owned subsidiary, Recurrent Energy, a utility-scale solar and storage project developer, closed debt and tax equity financing totaling over $234 million for the construction of 144 MW Pflugerville Solar Project located in Travis County, Texas. U.S. Bank provided the tax equity financing, and the debt financing was provided by a bank club led by CIT Bank, which included Norddeutsche Landesbank (Nord/LB), Rabobank, and Zions Bank.

Madrid-based solar developer X-Elio Energy said it reached an agreement on the sale of 500 MW of solar PV projects in Spain to China Three Gorges Europe. Financial details on the transaction were not disclosed. Some Spanish media, citing financial, said that the subsidiary of Chinese state-owned power company China Three Gorges Corporation is to pay around €500 million (~$595 million) for the projects.

Inflection Point Ventures, an angel platform, has invested an undisclosed amount in Eden Smart Homes, an IoT startup thathas a range of smart home solutions. The funds raised will be used for launching new product lines and scaling up sales and marketing operations to acquire more customers.

French renewable power producer Akuo Energy has raised €1.22 million (~$1.44 million) in a crowdfunding campaign for the 15 MW Curba solar project, located in the Alpes-de-Haute-Provence.The financing was gathered through AkuoCoop, the crowdfunding platform of Akuo Group, in the form of a bond issue.

Dominion Energy, an electric utility, has acquired the 62.5 MW Madison Solar project in Orange County, Virginia., from Cypress Creek Renewables. The project, which will be owned by Dominion Energy’s contracted assets arm and which has received all applicable state and local permits, is expected to start service in the second quarter of 2022.

OPDEnergy, a company specializing in development, financing, construction, and operation of renewable assets, has closed a $103 million financing from Sumitomo Mitsui Banking Corporation (SMBC) for the construction of two projects in Chile. The two projects -a 50 MW La Estrella wind project, located in the Region of Libertador General Bernardo O’Higgins, and a 104.3 MW Sol de Los Andes PV project, in the Region of Atacama. In addition, Opdenergy is also acting as an EPC contractor for this project.

Bloom Energy, a manufacturer of solid oxide fuel cell technology products, announced that it would purchase an additional $30 million aggregate principal amount of Bloom Energy’s 2.50% green convertible senior notes due 2025. The additional notes were closed. This purchase increases the outstanding aggregate principal amount of notes issued to $230 million.

AEP, a U.S.-based electric utility, said that its renewable energy subsidiary AEP Renewables completed the purchase of InveEnergy’s 20.1% interest in the Dessert Sky and Trent Mesa wind projects in Texas. According to AEP, both companies have jointly owned the 170 MW of Dessert Sky project and 156 MW of Trent Mesa wind projects since 2018. AEP Renewables currently owns 1.36 GW of large-scale solar, wind, and energy storage projects across the United States.

For reports and trackers on funding and M&A transactions in solar, energy storage, smart grid, and efficiency sectors, click here.

Read last week’s funding roundup.


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