Priority Power Management, a provider of energy optimization and infrastructure offering smart energy solutions and streamlined transitions to carbon neutrality, refinanced its existing debt and increased its credit facility from $85 million to $250 million. Priority Power Management, a wholly-owned subsidiary of Priority Power, executed the new five-year credit agreement comprising a $150 million revolving credit facility, $50 million term loan and $50 million revolver accordion.
The new credit facility allows Priority Power to build upon its track record of successful growth, including four closed acquisitions since 2021. The company currently manages approximately $3 billion of energy spend for its more than 7,000 clients across over 40 states in the U.S. and has completed $0.3 billion of energy infrastructure projects with an additional $1 billion in various stages of development.
BMO Harris Bank is acting as administrative agent, with BMO Capital Markets, BofA Securities and First Horizon Bank serving as joint lead arrangers.
“Priority Power has become a trusted industry leader over its 20-plus year history, and this new credit facility is a clear reflection of the company’s recent growth to date and robust future outlook,” Joe Loner, CFO of Priority Power, said. “The combination of flexible and cost-efficient capital with a premier group of financial institutions will allow Priority Power to continue our calculated growth strategy. I would like to thank the teams at BMO Capital Markets, Bank of America, First Horizon, Citibank and Regions Bank for their partnership with the company and efforts completing this transaction.”
“BMO has a strong relationship with Priority Power, and we’re impressed with its growth and trajectory,” Brad Chapin, global head corporate banking for BMO Capital Markets, said. “Partnering with Priority Power, a leader in decarbonization, fits well with our ambition to be our clients’ lead partner in the transition to a net-zero world.”
“I am proud of our team’s accomplishments and thankful to our lending partners for completing the refinancing,” Brandon Schwertner, CEO of Priority Power, said. “This new credit facility combined with the banks we are partnering with will further accelerate our growth objectives and allow us to continue carrying out our mission of leading the energy transition with innovative client-focused solutions built upon integrity, trust, and transparency.”
White & Case served as counsel to Priority Power and Paul Hastings acted as counsel to BMO Harris Bank and other lenders.