Primergy Secures $588M in Undertaking Financing & PPA with Microsoft for 408 MW Photo voltaic Undertaking in Texas

March 13, 2024

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OAKLAND, California — Primergy Photo voltaic LLC (‘Primergy’), a number one developer, proprietor, and operator of utility-scale photo voltaic and storage tasks, introduced immediately that it closed commitments for $588 million in debt financing for the 408 MWac Ash Creek Photo voltaic mission in Hill County, Texas. The corporate additionally signed a long-term energy buy settlement with Microsoft for the total capability of the plant.

“The profitable completion of this financing and a long-term PPA from Microsoft for Ash Creek is a testomony to Primergy’s confirmed capability to creatively develop, finance, construct, and function large-scale renewables tasks,” mentioned Ty Daul, CEO of Primergy. “Ash Creek aligns with Primergy’s mission to put money into well-located tasks that supply regional range to our portfolio and serve the wants of main company prospects. Our workforce is extraordinarily grateful for our continued partnership with distinguished clear vitality mission financiers to make this a actuality and are proud to work with Microsoft on assembly its sustainability commitments.”

The Ash Creek Photo voltaic web site is strategically sited close to a number of present fossil gas vegetation and excessive vitality demand. As soon as accomplished, the mission is predicted to generate sufficient carbon-free vitality to energy the equal of roughly 90,000 properties per 12 months.

The Ash Creek Photo voltaic mission debt financing features a building mortgage, tax credit score switch bridge mortgage, and associated letters of credit score. The amenities are led by MUFG Financial institution, Ltd. and SMBC as lead structuring arrangers and 7 coordinating lead arrangers (“CLAs”) together with BNP Paribas, Commerzbank AG, Crédit Agricole Company and Funding Financial institution, ING Capital, KeyBanc Capital Markets, Norddeutsche Landesbank Girozentrale, New York Department, and Rabobank. Latham & Watkins LLP acted as Primergy’s authorized counsel, whereas Skadden Arps Slate Meagher & Flom served as lender’s counsel.

“We’re thrilled to proceed our relationship with Primergy and help its rising photo voltaic and storage portfolio,” mentioned Louise Pesce, Managing Director, Undertaking Finance Americas at MUFG. “We’re dedicated to making a sustainable future by financing photo voltaic tasks which have a optimistic neighborhood impression, like Ash Creek Photo voltaic.”

“The monetary shut of Ash Creek Photo voltaic aligns with SMBC’s dedication to advance the event of fresh vitality infrastructure,” mentioned Paul Jun, Head of Energy & New Energies Undertaking Finance at SMBC. “We proceed to accomplice with organizations like Primergy which can be accelerating the worldwide vitality transition.”

Primergy has engaged SOLV Power, a number one utility-scale photo voltaic contractor, because the engineering, procurement, and building accomplice. Building has began and is predicted to create roughly 350 native full-time building jobs. As soon as operational, the security and reliability of Ash Creek Photo voltaic might be managed by six full-time and everlasting positions on-site.

Primergy and its companions labored intently with native leaders, college districts, and over 20 landowners to make sure Ash Creek Photo voltaic brings tangible advantages to the neighborhood past the development section. Over Ash Creek Photo voltaic’s working life, it’ll present an estimated $100 million in tax funds to Hill County and considerably improve the tax base of native college districts.

“Giant-scale photo voltaic tasks have a ripple impact that strengthens communities,” mentioned George Hershman, CEO of SOLV Power. “Ash Creek Photo voltaic represents a long-term funding in Hill County that may generate income for native faculties and companies. We’re proud to accomplice with Primergy to convey the advantages of photo voltaic vitality to extra Texans.”

Ash Creek Photo voltaic was initially developed by Orion Energy Technology, LLC, a three way partnership between Orion Renewable Power Group LLC and Eolian. Primergy acquired the mission in 2021. For extra data on Primergy, please go to www.primergysolar.com.

About Primergy Photo voltaic

Primergy (https://www.primergysolar.com) is a developer, proprietor and operator centered on each distributed and utility-scale photo voltaic PV and battery storage tasks throughout the US. Primergy is a portfolio firm of Quinbrook Infrastructure Companions and is the first funding platform for Quinbrook Infrastructure Companions’ photo voltaic and photo voltaic plus vitality storage actions in North America.