Spruce raises $120 million to support residential solar PV

Last Friday Spruce Finance closed on a US$120 million loan which it says will fund its offerings of solar leases and power purchase agreements (PPAs) in the United States. Investec plc was the lead lender, and terms have not been disclosed.

Spruce was formed through a merger of Clean Power Finance and Kilowatt Financial last December. In January the company revealed that it had raised $175 million from U.S. Bancorp Community Development Corporation to finance residential PV.

Spruce’s business model is to work with solar installers and energy efficiency businesses as a sales generator and finance provider, and the company appears to be gaining momentum through expanded partnerships. Earlier this month NRG Home revealed that it would be turning contracts over to both Spruce and Sunrun in key Northeastern markets as NRG limits its involvement in residential solar.

Spruce offers solar leases and PPAs in eight U.S. states, and loans for solar in 19.

Also in May Spruce announced that it had hired Jeff Loebbaka from Enphase to serve as its Chief Commercial Officer.