SolarBank Corp., a renewable energy developer, has announced a $100 million project financing agreement with infrastructure investor CIM Group. This deal is set to propel the development of 21 solar projects across the United States, with a combined capacity of 97 megawatts. The financing arrangement is structured as a preferred equity deal, allowing SolarBank to retain majority ownership of the projects while offering CIM Group a 3% annual coupon and full ownership of investment tax credits.
This strategic move enables SolarBank to safeguard its share capital and transition from a solar project developer to a long-term owner of solar assets. The partnership with CIM Group reflects the increasing investor confidence in the U.S. renewable energy sector and SolarBank's dedication to distributed and community solar projects. By leveraging this financing, SolarBank aims to tap into the growing demand for clean energy infrastructure without diluting the stakes of its current shareholders.
The 97 MW solar project portfolio financed through this deal represents a pivotal advancement in SolarBank's mission to enhance renewable energy generation. It underscores the company's role in the broader shift towards sustainable power sources in the U.S. energy landscape. For more information on SolarBank's initiatives, visit https://www.solarbankcorp.com.
