Summit Ridge engages MUFG to raise tax-equity bridge loan supporting community solar portfolio

Summit Ridge Energy is working with MUFG to raise non-recourse debt for a portfolio of community solar projects in Virginia, said two sources familiar with the matter.

MUFG is inviting other lenders to join a tax equity bridge loan of roughly USD 400m, one of the sources mentioned.

Summit and MUFG did not return calls seeking comment.

The sponsor will use the proceeds to fund installation of approximately 125 MW of PV distributed generation capacity.

In November, Summit had announced a USD 275m expansion of its existing partnership with MUFG, stating that the capital will be used for both construction and term debt financing, enabling Summit Ridge Energy to further expand its operations and execute on a growing community solar pipeline in Virginia and Illinois.

Additionally, the company also announced the acquisition of 19 community solar projects totaling 100 MW located across Virginia. The acquisitions were made by Summit Ridge’s joint venture with Osaka Gas USA Corp., a subsidiary of Osaka Gas Co. Ltd., the release stated.

Summit develops, acquires, owns, and operates energy projects within the commercial solar and battery storage sectors. In the past six years, the sponsor has deployed over USD 1.6bn into clean energy assets. It holds a development pipeline of more than 2 GW, planning to have more than 400 MW of PV online by the end of 2024.

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