Vivint Solar Closes $300 Mn of new Tax Equity Commitments

Vivint Solar has secured USD 300 million in new equity financing commitments from two repeat investors to support the growth of its residential solar business.

Vivint Solar, a leading full-service residential solar provider, has announced it has secured USD 300 million in new tax equity financing commitments from two repeat investors to support the growth of Vivint Solar’s residential solar business. With the addition of these two tax equity commitments, Vivint Solar has committed financing capacity for approximately 185 MWs.

The investment is expected to allow Vivint Solar to design and build low-cost, clean energy systems for approximately 24,000 new residential customers.

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“These two tax equity deals satisfy our tax equity financing needs well into 2021 and are the second step in a string of capital raising designed to provide the company with increased financial flexibility and funding runway,” said Thomas Plagemann, chief commercial officer and head of capital markets for Vivint Solar.

“We appreciate the repeat business from our tax equity partners, with whose support we continue to expand our solar + battery storage offerings in markets across the nation. As we have in the past, we continue to emphasise installation and operational excellence to provide our capital partners a reliable investment, and our customers a best-in-class solar energy service,” he added.

Earlier in the month, the firm had announced that it had closed on two separate debt transactions, totaling USD 545 million in incremental lender commitments. The first is a USD 245 million upsize to the company’s already existing multi-lender revolving warehouse facility closed in 2019, for a total of USD 570 million in aggregate commitments. The second is a USD 300 million hold-co loan facility provided by the Brookfield Infrastructure Debt Fund, a global credit-focused platform managed by Brookfield Asset Management Inc.

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The firm operates in 22 states and has raised more than USD 5.5 billion in cash equity, tax equity and debt from institutional investors, private equity firms and major Wall Street banks since its inception in 2011.