MMA Capital Management has entered into an agreement with an affiliate of TSSP, a special situations investment platform, to form a solar lending joint venture.
The joint venture will operate under the name Renewable Energy Lending (REL) and will provide financing for the construction and ongoing operations of solar power projects located throughout North America.
MMA Energy Capital (MEC), a wholly-owned subsidiary of MMA Capital, will provide loan origination and administrative services to REL. Kimberlite Advisors served as financial adviser in the formation of Renewable Energy Lending.
Michael Falcone (pictured), MMA Capital Management's chief executive officer, says: "We are pleased to announce another step in the growth of our overall energy capital platform. With this opportunity we are adding a world class capital partner to our renewable energy capital business. When combined with our ongoing relationship with Fundamental Advisors, we think this new venture will allow us to grow our origination platform across multiple product types within the solar lending space and allow us to deploy capital at attractive rates of returns."
"We are excited to enter into this partnership that will increase the capital we have available to provide construction and permanent financing for this very active marketplace. Our deep pipeline of opportunities continues to grow and the opportunity to partner with additional institutional capital will enable us to meet the anticipated growth of our business. There were over two gigawatts of solar installed in the second quarter this year in the US, a 43 per cent year over year increase, and we are well positioned to serve this growing industry. We are extremely pleased to have TSSP as a partner in this endeavour," adds Bob Hopper, managing director of MMA Energy Capital.