Treaty Oak Clean Energy, a U.S. independent power producer (IPP), closed a $300 million senior secured corporate credit facility. The facility will significantly enhance Treaty Oak’s rapidly expanding renewable energy project pipeline, which includes utility-scale solar, wind and battery energy storage assets (BESS).
The facility was led by ING Capital LLC, Nomura Corporate Funding Americas and Sumitomo Mitsui Banking Corporation serving as coordinating lead arrangers. ING served as the green loan agent, while Nomura served as administrative agent for the transaction. PEI Global Partners served as exclusive financial advisor to Treaty Oak. Latham & Watkins acted as borrower’s counsel, and Norton Rose Fullbright US served as lenders’ counsel.
“This facility strategically positions us to accelerate our buildout of important renewable projects in the U.S. and opportunistically approach a market that is experiencing significant regulatory change,” Chris Elrod, CEO of Treaty Oak, said. “This financing reflects strong lender confidence in our business model and management team and gives us a competitive advantage.”
Proceeds from the facility will directly support Treaty Oak’s strategic growth objectives, providing capital for interconnection and offtake letters of credit, equipment procurement and general corporate expenses to advance Treaty Oak’s 17.3 GW solar, wind and battery storage pipeline.
“This transaction highlights the strength and capabilities of the Treaty Oak platform, supported by a syndicate of top-tier global lenders,” Sky Fabian, partner at PEI Global Partners, said. “We are pleased to work alongside the company to secure a highly accretive credit facility that will enable the company’s commercialization of the next wave of clean energy development projects across the U.S.”
