Recurrent Energy, a solar and energy storage project development platform, has secured a €150 million (US$164.1 million) multicurrency facility from Santander Corporate & Investment Banking (Santander CIB). The funding will support Recurrent Energy's transition into an independent power producer (IPP) and enable its growth and asset ownership strategy in specific markets. This marks the fourth corporate facility between Recurrent Energy and Santander CIB in the past three years.
The facility comprises a €30 million plus US$20 million term loan and a US$110.5 million revolving credit facility, with a three-year duration. In addition to supporting Recurrent Energy's IPP transition, the company can leverage the facility to expedite its shift towards a develop-to-own model in key markets across North America and Europe.
See also: Recurrent Energy Signs Virtual Power Purchase Agreement for 100MW Solar Project in Texas
Recurrent Energy, the solar development and services arm of Canadian Solar, has been actively expanding its deployment of solar PV and battery energy storage. With this financing, the company aims to enhance its IPP revenue base, leading to more stable and predictable cash flows. Canadian Solar, a member of the Solar Module Super League, currently operates 9GW of solar and 3GWh of battery storage power plants in 29 countries. As of Q1 2023, Recurrent Energy boasts a global solar PV project pipeline of 25GWp and 47GWh of battery storage.
Shawn Qu, chairman and CEO of Canadian Solar, expressed the significance of this development, stating, “Recurrent Energy is significantly accelerating its deployment of solar PV and battery energy storage by expanding its leading IPP revenue base and growing stable and predictable cash flows.”
Moreover, Recurrent Energy recently entered into an aggregated virtual power purchase agreement (VPPA) with multiple offtakers for its 100MW solar PV project in Liberty County, Texas, which demonstrates the company's commitment to advancing renewable energy initiatives.
This financial arrangement with Santander CIB positions Recurrent Energy for continued growth and reinforces its position as a prominent player in the global solar and energy storage industry. The company's dedication to expanding renewable energy infrastructure aligns with the ongoing transition towards sustainable and environmentally friendly power sources.
