Radial Power, a developer-owner-operator of distributed clean energy assets across large real estate portfolios, secured $80 million in tax equity financing from Bank of America to fund developing and installing 96 MW commercial and industrial (C&I) and community solar projects across the U.S.
The company will use the funding to support its pipeline of distributed generation projects through late 2024, encompassing both asset and portfolio-level turn-key integrated C&I and community solar solutions.
This deal marks the inaugural tax equity financing Radial Power has closed with Bank of America, a leader in renewable energy tax equity financing with a portfolio of approximately $13.5 billion at the end of 2022.
Bank of America’s investments have contributed to the development of approximately 40.7 GW of total installed renewable (wind and solar) energy capacity in the U.S.
“We are proud to support Radial Power in this latest milestone. The tax equity transaction underscores Bank of America’s commitment to mobilize and deploy $1.5 trillion in sustainable finance capital by 2030 and to support the scalable and affordable delivery of clean, local power to communities, businesses, and individuals,” said Danielle King, Director in the Global Sustainable Finance Group at Bank of America.
Latham & Watkins acted as legal counsel to Radial and Milbank to Bank of America.
According to Mercom’s 9M and Q3 2023, Solar Funding and M&A Report announced large-scale project funding in the first nine months of 2023 came to $27.5 billion in 169 project funding deals, a 20% increase compared to $22.9 billion in 128 projects in 9M 2022.
Audax Renovables, a vertically integrated Spanish energy group that generates energy from renewable sources, recently secured institutional financing of €66 million (~$71.17 million) to construct a portfolio of 12 solar projects totaling 141 MW in Spain. The financing for the solar projects led by the European Investment Bank (EIB) will also promote the commissioning of the solar portfolio.