Strata Clean Energy closes $300m financing for renewables, storage & P2X

November 7, 2023

US renewable energy, energy storage and power-to-X project developer Strata Clean Energy has closed a $300 million new revolving loan and letter of credit facility to expand its operational fleet and accelerate the commercialisation of its more than 17GW development pipeline.

Nomura Securities International led the financing, acting as sole coordinating lead arranger, bookrunner, with Nomura Corporate Funding Americas, LLC as administrative agent, and First Citizens Bank and ING Capital as joint lead arrangers alongside five other participant banks. The loan adheres to a Green Financing Framework in accordance with the 2023 Loan Syndications and Trading Association (LSTA) Green Loan Principles. Nomura and ING Capital acted as green structuring agents.

The proceeds of the loan will “support the development, construction, and operation of Strata’s upcoming renewable energy, energy storage, and power-to-X projects,” a statement said. This facility also provides working capital for Strata’s growing EPC and O&M divisions.

“This facility strengthens Strata’s liquidity position and enables us to drive forward with groundbreaking and economically viable renewable initiatives in markets nationwide,” said Alice Heathcote, CFO of Strata Clean Energy. “The support of our financial partners is instrumental in propelling us forward as a leading fully-integrated cleantech platform, offering a comprehensive one-stop solution for development through construction, with an unwavering commitment to quality.”

Vinod Mukani, global head of Nomura’s infrastructure & power business, said: “Nomura is pleased to leverage its global intellectual and financial capital in providing a tailored financing solution and liquidity to Strata as it expands its operational fleet and accelerates the commercialization of its development pipeline. As a leader in utility scale projects with clear clean energy goals, Strata is an ideal client for Nomura, and we are excited to continue to support their growth efforts.”

Nixon Peabody and Norton Rose Fulbright acted as borrower’s and lenders’ counsel respectively.

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