MN8 Energy secures $575 million for 375 MWh storage, solar portfolio

MN8 Energy announced it secured $575 million of senior secured notes with Natixis Corporate & Investment Banking. The funds are expected to be used to repay project debt and fund distributions.

The notes are backed by a portfolio of 972 MW of distributed solar and utility-scale solar projects, as well as a 75 MW / 300 MWh battery energy storage system, collectively named MN8 Portfolio IV.

The portfolio includes 29 project sites across nine states, with “bi-coastal exposure across various weather conditions.” The portfolio is internally managed by MN8 and is supported by “advanced technologies and Tier-1 [original equipment manufacturers and [engineering, procurement, and construction firms.]”

MN8 said it intends to use the net proceeds from the notes to repay project debt and fund a distribution across its broader portfolio. The deal is structured with delayed funding tranches that coincide with project completion milestones.

Along with tax equity contributions, MN8 said this will enable the full refinancing of the $618 million construction bridge financing the company closed in December 2024 for three solar projects totaling 517 MW. MN8 said the structure will allow for subsequent note issuances in 2026 and 2027 as more projects come online.

Natixis served as lead placement agent, ratings advisor and green insurance coordinator for the transaction. Additionally, Societe Generale and HSBC Bank USA served as joint placement agents, CIBC, MUFG Securities Americas Inc., and Texas Capital served as co-placement agents. A letter of credit facility of $145.7 million was provided by Natixis CIB, Societe Generale, and HSBC Bank USA, N.A.

MN8 Energy has about 4 GW of operational and under-construction projects, 1.1 GW of battery energy storage projects, together combining for 874 projects across 29 states. It also has over 40 EV charging stations across 10 states.

From pv magazine USA.