Doral Renewables Secures $525 Million Financing for Solar and Battery Projects

Doral Renewables Secures Innovative Financing

In a significant development for the renewable energy sector, Doral Renewables has announced a groundbreaking financing arrangement, securing approximately $525 million in a mixture of cross-border Letter of Credit facilities. This financing will directly support the company’s ambitious expansion plans within the utility-scale solar and battery storage space across the United States.

The facility comprises two primary components. Firstly, the Deferred Equity Contribution Guarantee (DECG) facility worth around $385 million allows the company to issue Letters of Credit to project financing beneficiaries. This financial maneuver not only optimizes liquidity but also aims to enhance equity returns at the project level.

On the other hand, the All-Purpose Guarantee (APGF) facility, amounting to $140 million, focuses on supporting interconnection and power purchase agreements across the company's diverse project pipeline. Doral intends to upsize both facilities over time, reflecting its robust growth trajectory in the renewable energy landscape.

Evan Speece, Chief Financial Officer of Doral Renewables, expressed enthusiasm about this innovative financing. He stated, “We are excited to close these pioneering Letter of Credit financings in support of the further advance of our growing portfolio of projects across the United States.” He also acknowledged the role of Howden CAP, alongside the six international underwriters involved, in facilitating these transactions.

The collaboration with Howden CAP as the broker for these financing arrangements marks a notable leap in Doral's financing strategies. DLA Piper acted as transaction counsel for Doral, while Norton Rose Fulbright provided legal counsel to the participating underwriters. The principal issuer of the Letters of Credit, Banco Bilbao Vizcaya Argentaria (BBVA), alongside Global Loan Agency Services (GLAS) as the security agent, defines a robust financial framework backing Doral’s ongoing and future renewable projects.

James Souter, Managing Director of Howden CAP Surety, highlighted the significance of this financing, noting, “We are delighted to have completed a long-term committed capital solution for Doral Renewables and their investors.”

About Doral Renewables LLC

Doral Renewables, headquartered in Philadelphia, is a prominent player in the renewable energy sector, focusing on the development, ownership, and operation of solar energy assets across the United States. Currently, Doral's development portfolio boasts nearly 18 GW of renewable energy capacity, which includes 450 MW currently operational and an additional 1,500 MW under construction. This expansion occurs in 16 states and spans five electricity markets.

The company is actively engaged in community initiatives, integrating agrivoltaics practices to create synergies between farming communities and solar energy development. Doral collaborates with a diverse group of partners, including the Doral Group, Migdal Group, Clean Air Generation, APG, and Apollo Funds, all working towards a sustainable energy future. To learn more about Doral Renewables and its projects, visit doral-llc.com or follow them on LinkedIn and Facebook.