Enlight Secures $1.5B for Renewable Projects in U.S. Market
Enlight Renewable Energy Secures Major Financing in the U.S.
The recent financial closure for the Quail Ranch project marks a significant achievement for Enlight Renewable Energy. This project brings in $243 million of construction loans with a commercial operation date anticipated toward the end of 2025.
Quail Ranch: Overview and Capacity
Quail Ranch, a standout project for Enlight, is designed to combine 128 MW of solar power generation with an impressive 400 MWh of battery storage capacity. This innovative project is set for completion in late 2025. To ensure reliability, Enlight has secured a 20-year Power Purchase Agreement (PPA) with a reputable utility company, underscoring the strong demand for the power generated at this site.
Additional Projects Underway
Along with Quail Ranch, Enlight is also spearheading other projects, namely Roadrunner and Country Acres, all of which are now under construction. Collectively, these projects will feature a whopping capacity of 1.4 gigawatts and are expected to produce between $135-140 million in annual revenue while generating EBITDA ranging from $100-110 million once they become operational in 2025 and beyond.
Financing and Support from Global Lenders
Securing financing for such large-scale projects is no small feat. The financial closure for Quail Ranch was orchestrated by a consortium of four prominent global banks, including BNP Paribas Securities Corp, Crédit Agricole, Natixis Corporate & Investment Banking, and Norddeutsche Landesbank Girozentrale (Nord/LB). Once operational, the construction loan is expected to transition into a term loan worth $120 million, underlining the financial confidence in the project's future.
Compliance with Energy Community Tax Credit Bonus
An exciting aspect for Enlight is that Quail Ranch may qualify for the Energy Community Tax Credit Bonus, which is part of ongoing efforts to encourage renewable energy expansion. Plans are in motion to finalize a tax equity deal in 2025, further supporting the project’s financial structure.
Enlight's Vision for Growth
Gilad Yavetz, the CEO of Enlight, expressed pride in reaching remarkable financial milestones rapidly. With three significant financial closures in just four months, the company is well-positioned to further its objectives across the U.S. renewable energy landscape.
The growth strategy involves not just completing ongoing projects but advancing new initiatives in the western parts of the U.S., which will have an aggregate capacity of 2.6 gigawatts located in regions with remarkable solar irradiation. These upcoming projects promise to fuel continued growth and development for the company.
Statements from Leadership
Adam Pishl, CEO and President of Clenera, emphasized the achievements in funding and expressed optimism about meeting the growing energy demands in America with projects like Quail Ranch.
Founded in 2008, Enlight Renewable Energy is at the forefront of developing, financing, constructing, and operating utility-scale renewable energy projects. They are actively engaged across solar, wind, and energy storage sectors, notably in the U.S., Israel, and ten European nations. Enlight has been publicly traded on the Tel Aviv Stock Exchange since 2010 (TASE: ENLT) and completed its IPO in 2023 (NASDAQ: ENLT).
About Enlight Renewable Energy
Enlight operates on a global scale, focusing on maximizing sustainable energy solutions. The company's mission includes promoting environmentally friendly energy sources and contributing positively to the community and economy.
Investor Relations Contact
For more information, investors can reach Yonah Weisz, Director of Investor Relations at Enlight, via email at investors@enlightenergy.co.il, or contact Erica Mannion or Mike Funari at Sapphire Investor Relations, LLC, at +1 617 542 6180.
Frequently Asked Questions
What is the Quail Ranch project?
Quail Ranch is a renewable energy project by Enlight Renewable Energy, featuring solar power generation combined with battery storage.
How much financing did Enlight secure for its projects?
Enlight secured a total of $1.5 billion across three major projects in the U.S. over the past four months.
What are the expected revenue figures for the U.S. projects?
The three projects are projected to generate annual revenues between $135-140 million.
Who led the financing for the Quail Ranch project?
A consortium of four global banks, including BNP Paribas, led the financing efforts for the Quail Ranch project.
What is the long-term strategy of Enlight in the U.S. market?
Enlight plans to develop additional megaprojects and expand its renewable energy portfolio while meeting the rising energy demands across the United States.
About The Author
Contact Lucas Young privately here. Or send an email with ATTN: Lucas Young as the subject to contact@investorshangout.com.
About Investors Hangout
Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/
The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.