Today SolarCity announced that it has raised $345 million more to finance its growing growing business. It’s expanded its debt facility by $110 million. Both of which mean the residential and commercial solar installer can continue to grow its business and its profit potential.
The company’s has said it has now raised more than $1.5 billion in project financing in 2016. “The company has now created funds and facilities to finance projects with more than 30 different banks and corporate partners,” SolarCity stated.
The company said it raised the tax equity from four separate partners in June and July. “The financing facilities cover the capital cost of new equipment and installations,” the company said.
The company expanded its existing debt aggregation facility to $760 million. Two new to SolarCity lenders agreed to a $70 million expansion and it also received $40 million from existing lenders to the facility. The company also changed its solar renewable energy credit financing facility, which can now accept five years of hedged SRECs. The company said it will lower the cost of SREC financing allowing it to draw more capital from the facility.
The moves come ahead of the potential buyout of SolarCity by Tesla for up to $2.8 billion. The proposed buyout has raised eyebrows because some were wary of the purchase from Tesla’s standpoint, but also because of the close ties between the companies. Tesla is owned by Elon Musk, who sits on the board of SolarCity and also is a cousin of SolarCity CEO Lyndon Rive. However, Musk has said he won’t vote on the acquisition because of his unique position.