Origis Energy Secures $300 Million Corporate Credit Facility from KKR

Origis Energy, a vertically integrated renewable energy platform and a solar project developer, secured a $300 million corporate credit facility from global investment firm KKR.

Proceeds from the facility will be used to support the continued development and construction of Origis’ pipeline of solar and storage projects.

Headquartered in Miami, Florida, Origis deploys a range of sustainable solutions for grid and distributed power generation, clean hydrogen, and long-term operation of solar, energy storage, and clean hydrogen plants across the U.S.

According to the company, Origis has developed more than 250 solar and storage projects. The company’s current operating contracted, and mature development project portfolio stands at more than 12 gigawatts (GW), with an additional 13 GW in the pipeline in the U.S.

“We are on a remarkable trajectory at Origis and focused on delivering for our customers. We are pleased to be working with KKR in this next phase of our growth,” said Vikas Anand, CEO of Origis.

This investment is stated to comply with KKR’s Asset-Based Finance (ABF) strategy, which focuses on privately originated and negotiated credit investments that are backed by large and diversified pools of financial and hard assets.

“Demand for renewable energy financing is stronger than ever and we are pleased to support Origis Energy, one of the leading developers in this space,” said Sam Mencoff, Director at KKR.

Earlier this year, the company secured a $317 million project tax equity financing from J.P. Morgan to develop two utility-scale solar and solar plus storage projects. The renewable energy projects are located in New Mexico and Mississippi. The tax equity agreement leverages both the Investment Tax Credit (ITC) and the Production Tax Credit (PTC) incentives of the Inflation Reduction Act.

According to Mercom’s Q1 2024 Solar Funding and M&A report, announced debt financing for the solar sector in Q1 2024 totaled $6.2 billion in 22 deals, a 59% increase YoY compared to Q1 2023 when $3.9 billion was raised in 17 deals.

Recently, Matrix Renewables, a global renewable energy company, and Santander Corporate & Investment Banking closed a €300 million (~$322 million) corporate debt financing deal. Matrix secured this financing as Green and Sustainability-Linked, aligning it with the Green and Sustainability-Linked Loan Principles.