#United States #Arlington #Bank of America #Community Solar #Summit Ridge

Expansion of Solar Energy with Financial Backing

In a significant move towards enhancing America’s solar energy landscape, Summit Ridge Energy, the nation's foremost commercial solar company, recently announced the successful closing of a substantial $305 million senior secured credit facility in collaboration with Bank of America. This strategic financial initiative is aimed at bolstering a portfolio of community solar projects across Illinois and Maryland, amounting to an impressive 158 megawatts (MW) of total capacity.

Details of the Financing Package

The financing package comprises a $281 million term loan along with a $24 million letter of credit facility, which collectively provides pivotal support for the development of Summit Ridge's solar portfolio. This infusion of capital is expected to deliver not only long-term energy savings; it will also facilitate the creation of approximately 3,000 jobs in construction, engineering, and ongoing operations. These community solar projects are anticipated to contribute considerable energy cost savings to around 5,000 households and businesses within the region.

Summit Ridge holds a commendable position in the solar industry, boasting over 2 gigawatts (GW) in projects either operational or under development nationwide. The company has successfully raised over $5 billion since its inception in 2017, funding over 200 solar facilities which enable energy savings for more than 42,000 consumers.

Collaborating for Sustainable Growth

In orchestrating this financing, Bank of America took on multiple significant roles, serving as Structuring Agent, Syndication Agent, and Administrative Agent, as well as providing critical services such as Hedge Provider and LC Fronting Bank. Additional collaborators in this oversubscribed financing transaction included ING Capital and KeyBanc Capital Markets, both notable names active in the renewable energy financing sector.

Adam Kuehne, Chief Investment Officer at Summit Ridge Energy, expressed enthusiasm regarding the progression of this financing, stating, "This financing marks another significant milestone for Summit Ridge. Expanding our partnership with Bank of America enables us to grow our footprint in Illinois and Maryland, providing cost savings for thousands of customers while advancing America's energy independence with U.S.-made components and local labor."

In line with the goals of sustainability and local economic development, Omer Farooq, Head of Asset Finance at Bank of America, further emphasized the importance of distributed energy projects. “Our support for distributed energy projects underscores our ability to advance energy solutions that also contribute to local economic development,” said Farooq.

Positive Impact of the Solar Portfolio

Overall, the expected benefits of the Summit Ridge solar projects are far-reaching:

• - Long-term financial savings: The initiative is designed to deliver energy savings that will benefit 5,000 households and businesses.
• - Job creation: The development is projected to generate around 3,000 jobs in various roles spanning construction, supplier networks, and operations across Illinois and Maryland.
• - Strengthening local energy grids: By reinforcing local grids through distributed energy, these projects enhance reliability and promote greater energy independence within the U.S.

As Summit Ridge Energy continues to cultivate its leadership in the solar sector, it remains committed to delivering sustainable energy solutions that not only bolster the economy but also contribute significantly to national energy independence. The significant financing secured through this partnership with Bank of America is a testament to the growing attractiveness of solar energy assets within capital markets, ultimately paving the way for a greener future.

To learn more about Summit Ridge Energy, visit srenergy.com and connect with them on LinkedIn to stay updated on their latest initiatives and developments in renewable energy.