Summit Ridge Energy has closed a $305 million senior secured credit facility with Bank of America to finance a portfolio of community solar projects in Illinois and Maryland. The projects, totaling 158 megawatts, are expected to provide energy savings for approximately 5,000 households and businesses, generate local tax revenue, and create around 3,000 jobs in construction, engineering, and long-term operations.
The financing includes a $281 million term loan and a $24 million letter of credit facility. HASI participated as an investor alongside Summit Ridge Energy. Bank of America took on multiple roles in the transaction, acting as Structuring Agent, Syndication Agent, Coordinating Lead Arranger, Administrative Agent, Hedge Provider, and LC Fronting Bank. ING Capital served as Green Loan Structuring Agent and Coordinating Lead Arranger, while KeyBanc Capital Markets also acted as Coordinating Lead Arranger.
"This financing marks another significant milestone for Summit Ridge," said Adam Kuehne, Chief Investment Officer at Summit Ridge Energy. "Expanding our partnership with Bank of America enables us to grow our footprint in Illinois and Maryland, providing cost savings for thousands of customers while advancing America’s energy independence with U.S.-made components and local labor."
“We are pleased to collaborate with Summit Ridge on this energy portfolio,” said Omer Farooq, Head of Asset Finance within the Global Sustainable & Infrastructure Finance Group at Bank of America.“Our support for distributed energy projects underscores our ability to advance energy solutions that also contribute to local economic development.”
The new portfolio is part of Summit Ridge Energy's expansion in the solar sector. The company now has more than 2 gigawatts (GW) of solar projects either operating or under development across the United States. Since its founding in 2017, Summit Ridge has raised over $5 billion in project capital to finance more than 200 solar facilities nationwide.
Summit Ridge states that its efforts have delivered energy savings to over 42,000 homes and businesses while supporting American energy independence.
More information about Summit Ridge Energy can be found at srenergy.com.