SolarBank Secures $100 Million Financing for U.S. Solar Portfolio
SolarBank Corporation has obtained project-level financing from CIM Group for a 97 MW solar portfolio in the United States, representing a significant expansion of the company's renewable energy development strategy without diluting existing shareholder equity.
SolarBank Corporation has secured up to $100 million in project-level preferred equity financing for a 97 MW solar power portfolio across the United States. The financing arrangement with CIM Group will be structured through a joint venture with SolarBank's subsidiary Abundant Solar Power Inc., without issuing new company shares.
Under the terms of the deal, CIM Group will acquire non-convertible preferred equity in the venture, while SolarBank maintains majority ownership of the 21 solar projects. The financing structure includes a revenue-sharing model, provisions for tax credit transfers, and redemption rights after a five-year holding period, contingent upon final documentation and development milestone completion.
This financing represents a strategic move for SolarBank to expand its renewable energy portfolio without diluting existing shareholder value. The company's focus on distributed and community solar projects across North America positions it to capitalize on growing demand for clean energy solutions.
The 97 MW portfolio underscores SolarBank's commitment to developing renewable energy infrastructure, building on its existing pipeline of over one gigawatt and its track record of developing more than 100 megawatts of renewable energy projects.