Nexus Renewables Closes Multiple Financings Totaling Over USD40 Million

Nexus Renewables Inc. (“Nexus”, or “the Company”), a leading North American developer of renewable power projects and energy storage solutions, today announced the concurrent closing of (i) a USD13.3 million senior secured loan led by Aiga Capital Partners (“Aiga”), (ii) a USD14.5 million project-level financing led by Synovus Bank (“Synovus”), (iii) a CAD5.0 million commitment for privately-placed preferred shares, and (iv) a USD10.8 million tax equity commitment led by Greenprint Capital (“Greenprint”). Proceeds from the financings will be used to construct a 10MW/40MWh battery energy storage system (BESS) located in Fairfield, California, and advance development on the remainder of the Company’s portfolio, which includes a 300MW/600MWh BESS project located near Houston, Texas.

This transaction is transformative for Nexus Renewables as the Company pivots from a pure-play renewable developer to an independent power producer. It was only 18-months ago that Nexus first established itself as a pure-play renewable developer with the announcement of a USD100 million financing arrangement with an institutional offtaker.

Keith Sandor, Chief Executive Officer of Nexus Renewables, stated: “Nexus is operating in a high-growth, rapidly expanding marketplace. Our team is well-positioned to rapidly capture meaningful market share. These financings not only demonstrate our ability to finance projects directly under the Nexus Renewables banner, but also provide the framework for repeatable business and accelerated future growth. We are excited to advance construction on our 10MW/40MWh BESS project and look forward to leveraging this framework for future projects as we grow our platform with the support of our partners“.

“The partnership with Nexus is well aligned with Aiga’s mission to provide developers of sustainable assets with growth capital to catalyze the deployment of assets needed to meet net zero emissions targets,” said Angel Fierro, Managing Partner at Aiga Capital Partners. “Our flexible capital solutions are intended to support Nexus’ innovation and scale the platform across multiple geographies. Aiga’s senior secured facility has the flexibility of increasing in size as Nexus’ collateralized portfolio increases in value.”

Synovus’ project-level financing provides construction-to-term financing and bridges tax-equity financing. “Synovus is proud to support the vision of Nexus Renewables,” said Matthew Nodvedt, Senior Director of Alternative Energy Banking at Synovus. “We’re excited about the solutions battery storage offers and look forward to partnering with Nexus on future opportunities.”

Greenprint’s tax equity commitment will monetize investment tax credits (ITC) made available through recent changes to the US tax code vis-à-vis the Inflation Reduction Act (IRA). “The Inflation Reduction Act is driving forward energy transition initiatives and we are excited to be a part of that. This transaction represents the hard work of multiple stakeholders and will promote job growth, grid stabilization, and energy innovation in Solano County.” said Peter DeFazio, Managing Director at Greenprint Capital, LLC.