Sungevity completed an equity and project financing transaction totaling $650 million to support the company’s U.S. and international business. This marks the largest financing of a private company in the solar industry for 2015. Sungevity’s online platform and partner-based approach stands in contrast to the vertically integrated installer business model in the solar service sector. The new funding allows Sungevity to further optimize its technology platform and grow into new markets and new partnerships.
The funding includes $50 million in equity financing by existing investors including GE Ventures, and new investors including Apollo Investment Corp. The transaction also includes up to $600 million in new project financing from a consortium led by Apollo Investment Corp., subject to certain terms and conditions, to further support the development of solar projects across the company’s growing U.S. footprint of service areas. Sungevity also services the Netherlands, Germany and the United Kingdom.
If fully deployed, the Sungevity-Apollo project finance program, combining project financing capital and tax equity funds, would add up to 400 MW of solar energy capacity in the U.S. over the next three years. More systems will be put in place by Sungevity’s integrated platform where consumers can choose to purchase their system outright, whether by paying for their system in cash or with the proceeds of long-term debt financing which Sungevity also helps consumers obtain.
“This record investment is a testimony to the disruptive business model we’ve built in the solar market, an industry that itself is disrupting the energy landscape,” said Andrew Birch, CEO, Sungevity. “The funding allows us to extend our technology platform, enabling more partners to bring Sungevity Energy Systems to more customers in more places.”
Sungevity is recognized in the industry for its platform approach to solar solutions, leading customer experience, and successful partner-based model, which has attracted some of the most recognized companies and organizations in the world, including Lowe’s, E.ON, GE and The Sierra Club.
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