Sunrun Gets $250 Million to Install Residential Solar Systems

  • Investec led Sunrun's largest syndicated bank financing
  • Five-year deal was structured to facilitate securitizations

Bright Future Ahead for Solar Financing, Here's Why

Sunrun Inc. obtained $250 million in financing to install residential solar systems, a deal that was structured to help the company eventually securitize its contracts with consumers.

The five-year non-recourse deal was led by Investec Bank Plc. and is Sunrun’s largest syndicated bank financing to date, the San Francisco-based solar developer said in a statement Tuesday. It’s secured by cash flow available to Sunrun after distributions to tax-equity investors.

The senior secured financing has two tranches, one with pricing that starts at 250 basis points over the London interbank offered rate, and the other that starts at 500 basis points over Libor.

Sunrun hired Investec to lead the financing in late 2015, after the bank arranged $195 million in senior credit facilities for residential installations.

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