LEHI, Utah, June 2, 2020 /PRNewswire/ -- Vivint Solar
(NYSE: VSLR), a leading full-service residential solar provider in
the United States, today announced
the closing of two separate debt transactions, totaling
$545 million in incremental lender
commitments. The first is a $245
million upsize to the company's already existing
multi-lender revolving warehouse facility closed in 2019, for a
total of $570 million in aggregate
commitments. The second is a $300
million hold-co loan facility provided by the Brookfield
Infrastructure Debt Fund, a global credit-focused platform managed
by Brookfield Asset Management Inc. (NYSE: BAM).
The revolving warehouse facility's margin will increase to 3.1
percent with no change to the maturity date, advance rate, or other
material commercial terms of the facility. The hold-co loan
facility, which funded $200 million
on Friday, allows for additional borrowings on future contracted
cash flows of $100 million and will
have an interest rate of 8.0 percent with a three-year
maturity.
When combined together, the two debt facilities create an
implied all-in interest rate of approximately 4.4 percent on new
assets originated. This cost is approximately 70 basis points lower
than the cost of the Solar Asset Backed Notes, Series 2018-1
transaction Vivint Solar closed in 2018.
"These transactions raise a significant amount of liquidity
against our existing assets, provide for future debt capacity, and
demonstrate our ability to access the capital markets for financing
at a competitive cost of capital as we navigate the impacts of
COVID-19 to our business," said Thomas
Plagemann, chief commercial officer and head of capital
markets for Vivint Solar. "Given the continued uncertainty in the
capital markets, we feel the approach we have taken provides an
excellent combination of all-in cost of capital and advance rate,
with flexibility to access the securitization markets as they fully
recover. It is also an indication of our investors' continued
confidence in Vivint Solar's sustainable growth model and we are
very pleased to be entering into a relationship with an experienced
and highly reputable renewable energy investor such as
Brookfield."
"Brookfield is pleased to support Vivint's continued success in
the expanding residential solar market," said Hadley Peer Marshall, Brookfield's Managing
Director and head of infrastructure credit for the Americas.
"Through providing a flexible hold-co solution, we are delighted to
finance Vivint Solar's portfolio of essential and diversified solar
infrastructure backed by long-term customer agreements."
BofA Securities, Inc. acted as sole structurer and arranger for
the hold-co loan.
Vivint Solar operates in 22 states and has raised more than
$5.5 billion in cash equity, tax
equity and debt from institutional investors, private equity firms
and major Wall Street banks since its inception in 2011.
Note on Forward-looking Statements:
This press release
contains forward-looking statements within the meaning of Section
21E of the Securities Exchange Act of 1934 and the Private
Securities Litigation Reform Act of 1995, including statements
regarding Vivint Solar's expectations in connection with its Asset
Financing Facility and the tax qualification of its solar energy
systems. Forward-looking statements are inherently subject to risks
and uncertainties, some of which cannot be predicted or quantified.
Forward-looking statements should not be read as a guarantee of
future performance or results, and they will not necessarily be
accurate indications of the times at, or by, which such performance
or results will be achieved, if at all. These statements are based
on current expectations and assumptions regarding future events and
business performance as of the date of this press release, and they
are subject to risks and uncertainties that could cause actual
performance or results to differ materially from those expressed in
or suggested by the forward-looking statements. Although we believe
that the expectations reflected in the forward-looking statements
are reasonable, we cannot guarantee that the future results, levels
of activity, performance or events and circumstances reflected in
these statements will be achieved or will occur, and actual results
could differ materially from those anticipated or implied in the
forward-looking statements. Except as required by law, Vivint Solar
does not undertake and expressly disclaims any obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future developments or otherwise.
You should read the documents Vivint Solar has filed with the
Securities and Exchange Commission, or SEC for more complete
information about the company. These documents are available on
both the EDGAR section of the SEC's website at www.sec.gov and the
Investor Relations section of the company's website at
investors.vivintsolar.com/.
About Vivint Solar
Vivint Solar is a leading
full-service residential solar provider in the United States. With the help of Vivint
Solar, homeowners can power their homes with clean, renewable
energy, typically achieving significant financial savings over
time. Vivint Solar designs and installs solar energy systems for
homeowners and offers monitoring and maintenance services. In
addition to being able to purchase a solar energy system outright,
homeowners may benefit from Vivint Solar's affordable, flexible
financing options, including power purchase agreements, or lease
agreements, where available. Vivint Solar also offers solar plus
storage systems with LG Chem home batteries and electric vehicle
chargers with ChargePoint Home. For more information, visit
www.vivintsolar.com or follow @VivintSolar on Twitter.
About Brookfield Asset Management
Brookfield is a
leading global alternative asset manager with over $515 billion in assets under management. The
company has more than a 120-year history of owning and operating
assets with a focus on infrastructure, real estate, renewable power
and private equity. The Brookfield Infrastructure Debt Fund seeks
to lend to owners and operators of high-quality infrastructure
assets in the renewable power, utilities, transport, data and
energy sectors across North
America, Europe and
selective countries in South
America and Asia Pacific. For more information,
please visit www.brookfield.com.
Media Contact:
Wyatt Semanek
385-202-6577
pr@vivintsolar.com
www.vivintsolar.com
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SOURCE Vivint Solar, Inc.