In a landmark move demonstrating the increasing financial clout of clean energy, Intersect Power has secured an up to $800 million revolving corporate credit facility. This substantial financial backing provided by a consortium comprising Coordinating Lead Arrangers and Joint Bookrunners, Deutsche Bank AG, Nomura Securities International and Santander Corporate & Investment Banking (CIB) will bolster Intersect's growth trajectory and underpin its ambitious clean energy agenda.
Intersect Power's CEO, Sheldon Kimber, noted that the deal was "one of the largest of its kind ever done in the clean energy sector." It signals not just the financial viability of clean energy projects, but also their increasingly central role in a world grappling with the urgent need to decarbonize.
Funds from this mammoth facility will be channeled into the development, construction and operation of an array of renewable projects ranging from solar and energy storage to green hydrogen. The loan includes a Green Financing Framework that adheres to the 2023 Loan Syndications and Trading Association (LSTA) Green Loan Principles and International Capital Market Association (ICMA) Green Bond Principles. Intersect's Green Financing Framework was reviewed by Morningstar Sustainalytics, who published a Second-Party Opinion Report on Intersect's adherence to the Green Loan Principles.
The financial institutions involved have expressed strong support for Intersect's efforts. Deutsche Bank lauded the financing as an important step in decarbonizing the U.S. power grid, while Nomura praised Intersect for leading the charge in the energy transition. Santander, too, celebrated the role of the financing in supporting high-quality renewable energy projects and "deep decarbonization of our economy."
As part of a larger trend, this new credit facility follows a $1 billion growth equity investment from TPG Rise Climate, CAI Investments and Trilantic Energy Partners North America. It represents a strong endorsement of Intersect Power's vision as well as a recognition of the growing momentum behind clean energy investment.