Connect with us

Hi, what are you looking for?

CleanTechnica

Clean Power

Vivint Solar Closes New Financing Worth $811 Million

Leading US residential solar PV provider Vivint Solar announced earlier this week that it had closed a new round of new financing worth $811 million to be used for various debt and corporate purposes. 

Leading US residential solar PV provider Vivint Solar announced earlier this week that it had closed a new round of new financing worth $811 million to be used for various debt and corporate purposes.

Vivint Solar, which over the last couple of quarters has been posting relatively lackluster performance, has this week announced it has closed a new round of debt financing over two separate transactions worth $811 million which the company notes will be used to repay in full, or reduce the outstanding balance of, certain existing debt facilities in the company and its subsidiaries, and for use in general corporate purposes. The company’s aim is to lower Vivint Solar’s blended total credit spread by approximately 160 basis points.

In addition, the financing will also provide back-leveraging financing for a portfolio of 16 tax equity funds and one wholly owned subsidiary that own 575 megawatts (MW) and over 86,000 residential solar energy systems.

“We are pleased to announce this new milestone in the evolution of our financing strategy, which optimizes and simplifies our term debt structure while allowing us to repay more expensive outstanding loans, increase advance rates, lock in attractive fixed borrowing rates and create incremental liquidity for the business,” said Thomas Plagemann, Vivint Solar’s Chief Commercial Officer and Head of Capital Markets. “We appreciate our investors’ continued support and commitment to accelerating solar power adoption.”

Of note is the wide range of banks involved in the two funding rounds. The first was a capital markets issuance by the company’s wholly-owned subsidiary, Vivint Solar Financing V, LLC, of $466 million aggregate principal amount of Solar Asset Backed Notes, Series 2018-1 (issued in two classes – $400 million Series 2018-1 Class A Notes and $66 million Series 2018-1 Class B Notes). The original offering was only $355 but was upsized to become the largest securitization of residential solar power purchase agreements and leases to date. Credit Suisse Securities (USA) LLC and Citigroup Global Markets, Inc. acted as joint bookrunners and co-structuring agents for the offering and Merrill Lynch, Pierce, Fenner & Smith Incorporated, Deutsche Bank Securities Inc., and SunTrust Robinson Humphrey, Inc. acted as co-managers for the issuance of the Series 2018-1 Notes.

The second funding saw Vivint Solar Financing IV issue a private placement of $345 million aggregate principal amount of Solar Asset Backed Notes, Series 2018-2, of which Credit Suisse was the sole arranger of the private placement of the Series 2018-2 Notes.

 
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

I'm a Christian, a nerd, a geek, and I believe that we're pretty quickly directing planet-Earth into hell in a handbasket! I also write for Fantasy Book Review (.co.uk), and can be found writing articles for a variety of other sites. Check me out at about.me for more.

Comments

You May Also Like

Clean Power

UNO reverse, that is what this feels like! In this case, that means we analyze the analysts. This is the 4th edition of our...

Clean Power

This is the third edition of our Tesla analyst report cards based on where their TSLA price targets and sell/hold/buy advice would lead you...

Clean Power

On August 13, 2020, the U.S. Department of Energy (DOE) announced the Solar Energy Technologies Office Fiscal Year 2020 Perovskite (SETO FY20 PVSK) funding program,...

Cars

If you’re looking for confirmation that the internal combustion engine (ICE) is in jeopardy, ask Wall Street. Shares in electric vehicle maker Tesla are soaring, as...

Copyright © 2021 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.