Chadbourne Advises Lenders on US$250 Million Residential Solar Financing

Business January 19, 2016

Chadbourne & Parke LLP advised a syndicate of lenders, arranged by Investec Bank plc, on a US$250 million financing for Sunrun Inc. to support the company’s continued expansion in the residential solar sector. Sunrun is the largest dedicated residential solar company in the United States, and will use the funds to help more Americans install clean, affordable solar systems on their homes and reduce their electricity bills.

“We are delighted to have worked with Investec and Sunrun on this important financing,” said Rohit Chaudhry, co-head of Chadbourne’s Project Finance Group.  

“Chadbourne was a value-added partner that helped expedite a very creative and collaborative financing between Investec and Sunrun,” added Michael Pantelogianis, Investec’s Co-Head of Power and Infrastructure group in New York.

This non-recourse back-leverage financing is secured by the cash flows available to Sunrun after distributions to its tax equity investors. The financing comprises two tranches: (1) a senior aggregation facility with an advance rate of 65 percent and an initial interest rate of L+250; and (2) a subordinated tranche with a cumulative advance rate of 75 percent and an initial interest rate of L+500 bps. All facilities mature in December 2020.

The Chadbourne team working on the financing included partners Rohit Chaudhry and Eli Katz, and associates Noah Pollak, Eric Kamerman, Ana Vucetic and Diego Gallegos.

Chadbourne ranked as the top legal adviser for project finance transactions in North America in 2015, according to research prepared by IJGlobal. The firm was recently named a "Project Finance Group of the Year" by Law360, marking the second consecutive year that the group has received this honor. 

About Chadbourne & Parke

For more than a century, Chadbourne & Parke has counseled innovators around the world. We are a full-service law firm that leverages the extraordinary talent from our 11 international offices to offer the highest caliber client service in more than 80 countries on six continents. Today, we are recognized internationally for our groundbreaking work in emerging economies and our deep experience in energy and infrastructure, corporate and finance transactions, international disputes, and bankruptcy and financial restructuring.