DSD Renewables, backed by BlackRock Real Assets, said on Wednesday that it has obtained USD 140 million (EUR 131m) in pre-notice to proceed (NTP) financing to bankroll late-stage solar projects across eight US states.
The credit facilities were arranged by Santander Corporate & Investment Banking (Santander CIB), HSBC USA Inc, and Rabobank Group. They include a USD-100-million commitment for development financing and a USD-40-million facility allocated for bulk orders of equipment. Both have a term of two years.
The funding will support the continued development of the company’s late-stage development pipeline, which includes 205 MW of projects across California, Illinois, Maine, Massachusetts, Minnesota, New York, Vermont, and Virginia. DSD noted that those projects will be backed by further financing under its existing construction facility with Rabobank, Santander and others, once they reach a full NTP status. Their completion is planned for the period from mid-2023 till early 2025.
“[The deal] aligns with our equipment procurement strategy, allows us to get solar projects off the ground faster by providing short-term financial support before construction begins, and helps us manage capital in a manner that allows us to scale our platform more efficiently and effectively,” said Akash Patel, DSD’s Vice President of Underwriting.
The latest arrangement raises DSD’s total capital secured so far in 2023 to USD 215 million.
(USD 1.0 = EUR 0.937)
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