Primergy Solar – a leading developer, owner, and operator of utility-scale solar and energy storage projects – announced it closed commitments for $350 million in tax equity financing for the 408 MWac Ash Creek Solar project in Hill County, Texas.
This brings the total capital raised for the Ash Creek Solar project to nearly $1 billion. Earlier this year, Primergy announced $588 million in project financing for the project and secured a long-term power purchase agreement with Microsoft. The Ash Creek Solar project is currently under construction and is expected to be operational in early 2025.
This tax equity investment was led by a Fortune 500 telecommunications company, with additional investment from Truist Bank.
This financing marks about $3.8 billion in total debt and tax equity financing commitments closed by Primergy and Quinbrook Infrastructure Partners for U.S. solar and battery storage assets since 2020.
Ash Creek Solar was originally developed by Orion Power Generation, a joint venture between Orion Renewable Energy Group LLC and Eolian. Primergy acquired the project in 2021.
Primergy was advised by Latham & Watkins and Paragon Energy Capital. Milbank and Cornerstone Financial Advisors advised the telecommunications company and Truist Bank.
KEY QUOTE:
“This level of successful tax equity financing in today’s ERCOT market is a testament to our team’s ability to develop best-in-class projects. Large-scale solar projects are essential for decarbonizing and increasing the resilience of our nation’s electric grid. We are pleased with the continued partnerships and the trust we receive from leading financial institutions and investors, which are essential to delivering clean energy to communities across America.”
– Tim Larrison, CFO of Primergy
