US distributed solar company Spruce Power Holding Corporation (NYSE:SPRU) has acquired a residential solar portfolio comprising more than 2,400 systems and contracts for USD 20.9 million (EUR 19.2m).
The company said it bought the portfolio on August 18 from a publicly traded, regulated utility company, without disclosing its name. It fully funded the transaction with proceeds from the concurrent upsizing of its Spruce Power 2 credit facility.
The purchased portfolio includes solar installations in California, New Jersey and Massachusetts, with an average remaining contract life of almost 11 years. It is expected to generate some USD 4 million in annual run-rate revenue.
“This is an exciting acquisition where Spruce could self-fund growth by tapping the operational excellence of the Company’s asset management teams and strong performance of our existing assets. With this acquisition, our financial outlook continues to improve, and we are tightening our expectation for annual run-rate business cash inflows to between USD 120 million and USD 130 million,” CFO Sarah Wells said.
Following this acquisition, Spruce’s total portfolio surpasses 75,000 home solar assets and contracts.
(USD 1.0 = EUR 0.919)
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