OneRoof Energy, Inc., and wholly-owned subsidiary of OneRoof Energy Group announced that certain of its affiliates have signed a $50 million construction loan facility with Black Coral Capital, a current investor in the company. In addition, Black Coral has funded $9.05 million of working capital to the company, in the form of secured non-convertible notes.
David Field, president and CEO of OneRoof, said the funds borrowed under the facility will be used to finance construction of new solar projects for the company’s Solar 2.0 national growth strategy, where OneRoof secures distribution and fulfillment partnerships with major consumer services providers with strong existing homeowner relationships.
“This new round of financing from Black Coral will support our Solar 2.0 strategy to partner with leading energy retail providers, home services providers and other sales partners that are already selling a key product or service to homeowners, thereby reducing our customer acquisition costs across the board,” Field said. “We are pleased to be working with Black Coral, which continues to be immensely important to the company’s growth and helping bring the benefits of environmentally sensitive renewable energy to new markets throughout the U.S.”
Black Coral loaned an initial tranche of $36.55 million under the facility and subsequent tranches may be funded from time to time, subject to the terms and conditions of the facility. Principal and interest on the facility will mature and be payable on May 31, 2018 and interest will accrue on borrowed funds at a fixed rate of 6% per annum.
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