Recurrent Energy, a solar and energy storage project developer and a wholly owned subsidiary of Canadian Solar has announced BlackRock’s second and final closing of a $500 million investment through a fund managed by its Climate Infrastructure business.
The transaction was announced in January 2024, and the first payment was made in June 2024. As per the agreement, BlackRock’s total investment has reached $500 million, representing 20% of the outstanding fully diluted shares of Recurrent Energy on an as-converted basis. Canadian Solar will continue to own the remaining majority shares of Recurrent Energy.
The company will use the funding to invest in the development of project portfolios and support its strategic transition from developer to long-term owner and operator in selected markets, including the U.S. and Europe.
The company said it has developed, built, and connected over 11 GW of operating utility-scale solar projects and 3.7 GWh of energy storage projects across six continents since 2009.
Ismael Guerrero, CEO of Recurrent Energy, said, “We value our partnership with BlackRock and appreciate their commitment. This strategic partnership positions Recurrent Energy at the forefront of the renewable energy industry, providing the financial strength necessary to continue developing key solar and energy storage projects globally while also supporting our mission to deliver clean, reliable, and affordable power to the world, today and tomorrow.”
According to Mercom’s 1H and Q2 2024 Solar Funding and M&A report, VC funding activity decreased 29% year-over-year (YoY), with $2.7 billion raised in 29 deals in 1H 2024 compared to $3.8 billion in 33 deals in 1H 2023. However, in Q2 2024, global VC funding activity rose 29% YoY, with $2.2 billion in 16 deals compared to $1.7 billion raised in 15 deals in Q2 2023.
In June, Doral Renewables, a utility-scale renewable energy project developer, secured a $400 million minority equity investment from Dutch pension APG on behalf of Dutch pension fund ABP. APG said it would provide its pro rata share of corporate credit support and funding for the company’s energy business, amounting to an additional $185 million in capital over time.
