OYA Renewables Secures $216 Million Loan for Solar Projects

Navisun, an independent power producer, secured up to $235 million in debt financing through two facilities. The funding will support the company’s growth strategy, allowing it to execute its project pipeline of distributed and small utility-scale solar and storage projects across the United States.

The first facility is a $105 million, five-year revolving construction credit facility, which includes a letter of credit facility. In addition, the financing incorporates an up to $50 million accordion feature allowing the company flexibility to upsize as its portfolio grows.

The second facility is an up to $130 million, five-year term loan facility, which includes a letter of credit facility and a delayed-draw term loan. The facility also consists of an up to $75 million accordion feature.

“The financing facilities we have secured provide us with the necessary capital to continue to innovate and expand our portfolio of solar and storage projects while also delivering reliable and affordable energy solutions to our customers. We look forward to working with our financing partners as we continue to scale our business,” said Doug Johnsen, managing partner and co-founder of Navisun.

The funding was led by MUFG, which acted as an administrative agent, issuing bank, and coordinating lead arranger. Export Development Canada served as the mandated lead arranger for both facilities. Wells Fargo Bank also acted as the mandated lead arranger for the second facility. Wilmington Trust acted as a collateral agent and a depository for both facilities.

Founded in 2017, Navisun acquires, co-develops, constructs, finances, owns, and operates distributed and small utility-scale solar and storage projects, usually between 1 MW to 30 MW.

In November 2021, Navisun was acquired by OMERS Infrastructure, a global infrastructure investor and investment arm of OMERS pension plan, from a fund managed by Ares Management Corporation.

According to Mercom Annual and Q4 2022 Solar Funding and M&A report, in 2022, announced debt financing came to $12 billion, a 24% decline compared to $15.8 billion raised during 2021. Securitization activity was a key contributor, with $3.1 billion in 12 deals.