U.S.-based independent power producer Treaty Oak Clean Energy has secured a $300 million corporate credit facility to support the development of its 17.3 gigawatt (GW) pipeline of utility-scale solar, wind, and battery storage projects, the company said on Tuesday.
The financing was led by ING Capital, Nomura Corporate Funding Americas, and Sumitomo Mitsui Banking Corporation (SMBC). Treaty Oak said the facility will provide capital for project interconnection, offtake-related letters of credit, equipment procurement, and other corporate expenses.
“This facility strategically positions us to accelerate our buildout of important renewable projects in the U.S. and opportunistically approach a market that is experiencing significant regulatory change,” said Chris Elrod, chief executive of Treaty Oak Clean Energy.
Elrod added that the deal “reflects strong lender confidence in our business model and management team and gives us a competitive advantage.”
The company’s development portfolio spans major U.S. power markets and includes 17.3GW of clean energy capacity across solar, wind, and battery energy storage systems (BESS). Treaty Oak said it has secured long-term power purchase agreements (PPAs) for 485 megawatts (MW) of its portfolio, with another 1GW under negotiation.
Construction has started on the 100MW Redfield solar project in Arkansas, and the company expects to break ground on an additional 385MW of solar projects in Louisiana in 2025.
Sky Fabian, partner at PEI Global Partners, which acted as exclusive financial advisor to Treaty Oak, said the transaction underscores confidence in the company’s platform.
“This transaction highlights the strength and capabilities of the Treaty Oak platform, supported by a syndicate of top-tier global lenders,” Fabian said. “We are pleased to work alongside the company to secure a highly accretive credit facility that will enable the company’s commercialisation of the next wave of clean energy development projects across the U.S.
Latham & Watkins served as borrower’s counsel, while Norton Rose Fulbright US LLP advised the lenders.
