US solar developer 8minute Solar Energy has closed US$400 million in financing from institutional investor EIG to bolster its US solar PV and energy storage pipeline.
8minute is currently pursuing a pipeline of assets that stands at 18GW of solar PV and 24GWh of energy storage throughout California, Texas and the southwestern US, however the intent is for the new line of funding to help grow that further.
8minute said the finance will enable it to begin building projects off its balance sheet while also investing in technology innovation and advanced solar project design.
The US$400 million package includes growth equity and a letter of credit and will also see EIG chairman and CEO R. Blair Thomas join 8minute’s board.
Tom Buttgenbach, founder and CEO at 8minute, said the fundraise was a signal that the private sector recognises the “immediate need for more reliable, resilient and low-cost climate solutions”, stressing that the deal would strengthen his company’s commitment to become a “leading technology provider of ‘smart’ solar power plants with integrated energy storage”.
Furthermore, Buttgenbach said 8minute was continuing to explore expansions into the nascent green hydrogen sector and “other adjacent markets”.
In spite of political deadlock preventing the passage of an extension to the US solar investment tax credit, there remains significant appetite in the US utility-scale solar market with a number of developers landing institutional investment or announcing expansions in recent months.
On top of 8minute’s news, earlier this month Shell-backed developer Silicon Ranch secured US$775 million to pursue its pipeline of development assets in the country, while Eco Energy World revealed to PV Tech Premium yesterday the finer details of its bid to scale rapidly in the US market.