Canadian Solar Subsidiary Recurrent Energy Secures Debt Financing for 157 MW Texas Solar Project
GUELPH, Ontario, Nov. 30, 2015 /PRNewswire/ -- Canadian Solar Inc. (the "Company", or "Canadian Solar") (NASDAQ: CSIQ), one of the world's largest solar power companies, today announced that its wholly owned subsidiary, Recurrent Energy, one of North America's largest solar project developers, has closed on a combined construction and term debt facility, with a syndicate of five banks, for the 157.5 megawatt (MW)ac/ 212 MWp Roserock solar project in Texas. The project, developed by Recurrent Energy, is currently under construction. The electricity generated by the facility will be delivered to Austin Energy pursuant to a 20-year Power Purchase Agreement.
With KeyBank as the Coordinating Lead Arranger, five banks, including Rabobank, Santander, NORD/LB, and CIT will provide project-level construction debt, LC facilities and a back-leveraged term facility, totaling approximately $275 million.
"This top tier group of financiers' attraction to the Roserock solar project is a clear indication that large-scale solar can compete and succeed in competitive energy markets like Texas," said Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar. "This agreement is a testament to our broader team's ability to deliver bankable solar projects with strong fundamentals."
"This is our fourth transaction with Recurrent Energy in 2015. We are proud to continue our working relationship and view Roserock as a strong investment in the fast growing Texas solar market," said Andrew Redinger, Managing Director and Head of KeyBanc Capital Markets Utilities, Power & Renewables Group.
Roserock, located on approximately 1,300 acres in Pecos County in West Texas, is projected to create 500 construction jobs. The project will use approximately 700,000 Canadian Solar CS6X-P photovoltaic (PV) solar modules and is expected generate enough energy to power more than 30,000 Texan homes once it reaches commercial operation in late 2016. The facility layout was developed in cooperation with mineral operator Apache Corporation.
About Recurrent Energy
Recurrent Energy, a subsidiary of Canadian Solar Inc., is redefining what it means to be a mainstream clean energy company, with utility-scale solar plants that provide competitive clean electricity. The company has more than 4 GW of solar projects in development in North America. Additional details are available at: www.recurrentenergy.com
About Canadian Solar Inc.
Founded in 2001 in Canada, Canadian Solar is one of the world's largest and foremost solar power companies. As a leading manufacturer of solar photovoltaic modules and a provider of solar energy solutions, Canadian Solar has a geographically diversified pipeline of utility-scale power projects. In the past 14 years, Canadian Solar has successfully deployed over 12 GW of premium quality modules in over 70 countries around the world. Furthermore, Canadian Solar is one of the most bankable companies in the solar industry, having been publically listed on NASDAQ since 2006. For additional information about the company, follow Canadian Solar on Facebook, Twitter, LinkedIn, or on the website.
Safe Harbor/Forward-Looking Statements
Certain statements in this press release regarding the Company's expected future shipment volumes, gross margins, business prospects and future quarterly or annual results, particularly the management quotations and the statements in the "Business Outlook" section, are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. These statements are made under the "Safe Harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by such terms as "believes," "expects," "anticipates," "intends," "estimates," the negative of these terms, or other comparable terminology. Factors that could cause actual results to differ include the risks regarding the previously disclosed SEC investigation as well as general business and economic conditions and the state of the solar industry; governmental support for the deployment of solar power; future available supplies of high-purity silicon; demand for end-use products by consumers and inventory levels of such products in the supply chain; changes in demand from significant customers; changes in demand from major markets such as Germany, Japan, the U.S. and China; changes in customer order patterns; changes in product mix; capacity utilization; level of competition; pricing pressure and declines in average selling prices; delays in new product introduction; delays in utility-scale project approval process; delays in utility-scale project construction; continued success in technological innovations and delivery of products with the features customers demand; shortage in supply of materials or capacity requirements; availability of financing; exchange rate fluctuations; litigation and other risks as described in the Company's SEC filings, including its annual report on Form 20-F filed on April 23, 2015. Although the Company believes that the expectations reflected in the forward looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. Investors should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today's date, unless otherwise stated, and Canadian Solar undertakes no duty to update such information, except as required under applicable law.
SOURCE Canadian Solar Inc.
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