sPower Closes Bond Deal for $421.4M

First company to receive a credit rating on a portfolio of utility
scale solar and wind assets

SALT LAKE CITY–(BUSINESS WIRE)–sPower, a leading renewable energy Independent Power Producer, recently
closed a $421.4 million 4(a)(2) private placement financing on a
portfolio of approximately 565 MW of utility-scale solar and wind
assets. The financed portfolio represents approximately 44% of sPower’s
1.3 GW operating portfolio. In December 2017, the transaction was
awarded 2017 “Deal of the Year” by Project Finance International
for its Americas renewable energy category.

“This first-of-its-kind milestone is a testament to the quality of our
operating portfolio, the relationships we have with our finance partners
and the strength of our utility offtakers. This financing will benefit
sPower for years to come by locking in predictable cash flows for almost
two more decades,” said sPower CEO Ryan Creamer.

The proceeds from this issuance refinanced approximately $300 million of
medium-term bank loans, lengthening tenor to a fully-amortizing 19-year
facility and eliminating the refinancing risk associated with previous
bank loans. Incremental proceeds net of the bank loan refinancing will
be used to fund sPower’s continued development of additional renewable
generating facilities. The offering was significantly oversubscribed by
a diverse group of leading US private placement investors.

“We are obviously thrilled with the recognition of ‘Deal of the Year.’
This was our inaugural institutional bond market transaction, and was
very complex given the nine underlying tax equity partnerships. We are
very pleased with the outcome and our ability to access long-term,
fixed-rate debt at attractive levels,” said sPower CFO David Shipley.

Citi served as Ratings Advisor, Structuring Agent and Lead Placement
Agent. Credit Agricole, KeyBanc, Rabo, Societe Generale and Wells Fargo
served as Co-Placement Agents. CohnReznick served as financial advisor.

About sPower:

sPower,
an AES and AIMCo company, is the largest private owner of operating
solar assets in the United States. sPower owns and operates a portfolio
of solar and wind assets greater than 1.3 GW and has a development
pipeline of 10 GW+. For more information, visit www.sPower.com.

Contacts

sPower
Camille Press, 801-679-3542
Communications Specialist
[email protected]