Spruce Finance Secures $208 Million for Residential Solar Assets

Spruce Finance owns and operates a growing portfolio of distributed generation solar and residential energy assets in the U.S. Headquartered in Houston with executive offices in San Francisco.

Distributed generation solar plants operator Spruce Finance, a leading owner and operator of residential energy assets in the U.S., has announced the successful closing of a $208 million senior secured financing of its residential solar assets.

The debt financing gives Spruce access to competitively priced capital, improve its capital structure and help the company grow in new solar markets.

Silicon Valley Bank and ING both acted as coordinating lead arrangers and joint book runners. Key Bank acted as a joint lead arranger and there were several other participating lenders. The firms were chosen due to their position as market leaders in financing residential solar assets. Spruce is reportedly actively pursuing acquisition opportunities to add to its 150MW portfolio.

“As the solar financing landscape continues to evolve, we see an opportunity to grow our portfolio while providing integrated services,” said Christian Fong, president and CEO of Spruce Finance, “Our strong financing and M&A capabilities, paired with our subsidiary Energy Service Experts’ servicing offerings puts us in a unique position in the industry.”

In November of last year, Spruce announced that it was acquired by HPS Investment Partners, a leading global investment firm with more than $48 billion of assets under management. Spruce’s independent subsidiary, Energy Service Experts, services more than $1 billion of residential accounts, providing financial asset management, consumer billing and collections, fleet management and homeowner support.

Currently, Spruce manages more than 150 MW of installed capacity and is reportedly acquiring operating residential and commercial and industrial solar assets and power purchase agreements in North America.