Matrix Renewables, the TPG Rise-backed renewable energy platform, secured construction to term loan financing of $283 million for a 260 MW solar project in Idaho. It also executed a production tax credit (PTC) transfer agreement for this project.
The debt transaction led by MUFG as a coordinated lead arranger includes a construction loan, term loan, and Letter of Credit (LC) support. HSBC, SMBC, National Bank of Canada, Commonwealth Bank of Australia, and Mizuho acted as Mandated Lead Arrangers.
The tax credit transfer agreement was executed with a property/casualty insurance company as the tax credit buyer and Stonehenge Capital as the tax credit servicer. Matrix has elected PTC monetization for the project and received a full 10-year PTC purchase commitment from the tax credit buyer.
“We are incredibly pleased to report our financing and construction progress on our Pleasant Valley Solar project. Construction started in Q3 2023 and will start delivering power starting in 2025 to Idaho Power and Meta under a 20-year PPA” said Cindy Tindell, Managing Director and Head of U.S. for Matrix Renewables. “Pleasant Valley Solar will provide clean power to the equivalent of 14,500 homes, deliver grid resiliency and avoid 211,000 metric tons of CO2 equivalent yearly. These environmental attributes are in addition to the economic benefit for the Boise metropolitan region in Idaho. We thank MUFG for their ongoing support and look forward to a long relationship with Idaho Power and Meta.”
Matrix was advised by CRC-IB, Norton Rose Fulbright, ICF Resources, and Riverside Risk Advisors. Latham & Watkins acted as lenders’ counsel, and Allen & Overy acted as counsel to Stonehenge Capital and the tax credit buyer.
“MUFG is excited to be a part of this transaction, and we’re looking forward to continuing supporting Matrix Renewables on this project and their future developments,” said Fred Zelaya, Managing Director of the MUFG Americas Project Finance team.
According to Mercom’s Q4 and Annual Solar Funding and M&A report, large-scale solar project funding deals announced in 2023 came to $44.5 billion in 229 deals, of which 196 were disclosed.
ib vogt, a renewable energy project developer, achieved financial closure for a 418 MW solar PV portfolio in Spain. The PV portfolio consists of three projects clustered around Segovia, in the autonomous community of Castile and León, Spain.
