Duke Energy Renewables 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 megawatts of solar and solar plus storage projects, which will be developed and constructed by Duke Energy Renewables’ subsidiary REC Solar.
Projects will feature ground-mount and rooftop commercial and industrial projects, as well as community solar projects across several different states including Arizona, California, Colorado, Hawaii, Massachusetts and Texas.
Goldman Sachs’s investment structure, monetizing both cash and tax attributes generated by the projects, is uniquely tailored to finance large, distributed portfolios of renewables assets. Monetizing the investment in this way allows Duke Energy Renewables to free up capital to continue to invest in its distributed generation portfolio, said Chris Fallon, president of Duke Energy Renewables.
“By combining the financing of tax and cash attributes into a single product, Goldman Sachs is able to provide sponsors like Duke Energy Renewables with comprehensive and flexible financing solutions tailored to each individual portfolio’s needs,” said Vivek Kagzi, of Goldman Sachs’ Alternative Energy Investing Group.
NextPower Capital acted as the financial advisor to Duke Energy Renewables and REC Solar, and Hunton Andrews Kurth and O’Melveny & Myers were the transaction legal counsels for Duke Energy Renewables and Goldman Sachs, respectively.
Source: greentechlead
