8minute Solar Energy, a solar energy company based in the US, has announced the completion of a $400 million fundraising round led by EIG, a US-based institutional investor. A portion of the growth equity and a letter of credit are included in the financing arrangement.
As per a company statement, this corporate strategy funding will enable 8minute to maintain and expand its appealing portfolio of clean energy assets, which includes more than 18 GW of solar capacity and 24 GWh of storage across California, Texas, and the southwestern United States. Moreover, this funding will also allow 8minute to focus on technology innovation and advanced solar plant design, as well as start building projects on its own balance sheet.
EIG, based in Washington, D.C., is a major institutional investor in the global energy sector, with $22.6 billion in assets under management as of September 30, 2021. On a global scale, EIG specialises on private investments in energy and energy-related infrastructure. Whereas, 8minute has one of the largest solar power plant pipelines in the US, with more than 50 utility-scale projects in various stages of development, with an average project size of 400 MW. In June 2020, CIT Group Inc. announced that its power and energy business has arranged for a $225 million letter of credit facility on behalf of 8minute. 8minute intended to use the credit facility to arrange purchase power agreements and interconnection agreements associated with its development pipeline of solar and storage projects of over 18 GW in California, Texas and the southwestern US.
