The business has secured up to $125m in venture capital and project financings in its latest round, including $40m raised last year from Brightpath Capital Partners and home improvement retailer Lowe’s.
New equity investors Vision Ridge Partners, Craton Equity Partners and Eastern Sun Capital Partners also participated in the financing round.
Sungevity said it would use the new financing to develop solar projects across nine US states.
Nazzar Massouh, who leads ECP’s energy-focused mezzanine investments, said, “Energy Capital is excited to partner with Sungevity to provide an innovative and flexible capital solution to efficiently finance its on-going solar installations.
“Sungevity’s unique customer acquisition approach, scalable business model and stable cash flow generated by its established customer base, is a natural fit for our diversified energy portfolio.”
Brightpath Capital managing partner Rob Davenport added, “While overshadowed by news in the solar manufacturing sector, the downstream market, particularly residential solar, continues to experience rapid growth.
“Sungevity’s model has demonstrated cost advantages and margin expansion potential that are unique within the sector and we believe the company is positioned for sustained growth.”
Last week ECP agreed to buy nuclear commercial services specialist EnergySolutions from the New York stock exchange, in a deal that gave the company an enterprise value of $1.1bn.
ECP entered into a definitive acquisition agreement to buy the Salt Lake City-based multinational through its $4.3bn Energy Capital Partners II vehicle, which focuses on the acquisition, development and construction of North American energy infrastructure assets.
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