US: Spruce Finance arranges loan deal for 80 MW of residential solar

Solar financing firm Spruce Finance is looking to secure approximately $130 million in financing to support the development of around 80 MW of U.S. rooftop solar assets, reports Bloomberg.

The company has hired Investec Plc to arrange the financing debt deal, which will be based across a seven-year term. Investec, which has arranged similar deals in the past for residential solar installer Sunrun, will host a bank meeting next week to discuss the terms of the financing package, an unnamed person familiar with the deal told Bloomberg.

Spruce Finance already has in excess of 50,000 U.S. customers on its books, and is looking to grow its solar portfolio at a time when the U.S. residential PV landscape in particular is poised for strong growth.

The extension of the ITC at the end of 2015 has served to reinvigorate confidence in the sector, and Spruce – which was formed in January via a merger between Clean Power Finance Inc and Kilowatt Financial LLC (both backed by Kleiner Perkins Caufield & Byers LLC) – hopes to augment its offering, which provides financing for residential solar, water conservation upgrades and energy efficiency systems.

Following the creation of Spruce last month, company CEO Nat Kreamer described the company thus: "Spruce is a nationwide one-stop-shop for financing that helps consumers save money on all of their utility bills. We offer solar financing in 18 states and water and energy efficiency home improvement financing in all 50 states."

The March edition of pv magazine, published March 4, features an in-depth interview with Spruce CEO Nat Kreamer, who discusses how the ITC extension came to pass and its potential impact on the U.S. solar industry.