Renewable Energy Trust Capital, Inc. (RET Capital)—San Francisco—is pleased to announce that it has agreed to acquire the 25 MW AC McHenry Solar PV Plant in Modesto, California, from K Road Power Holdings LLC. The plant, constructed in 2012, provides power to Modesto Irrigation District under a 25-year contract.
RET Capital, which has offices in New York and San Francisco, is building a growth and asset management platform for the renewable energy industry. It is working with middlemarket developers and other industry stakeholders to lower their cost of capital, increase standardization and facilitate accelerated growth.
“RET Capital is pleased to acquire this high-quality asset and looks forward to growing its business with new and existing Asset Partners,” said John A. Bohn, Chief Executive Officer and Chairman of RET Capital.
“The McHenry Solar PV project is a superb development,” said William Kriegel, Chief Executive Officer of K Road Power, which is based in New York City. “In 2013, K Road provided over 66,000 MWh of clean solar energy to the Modesto Irrigation District from the McHenry plant – about 2% of MIDʼs load – and we wish RET Holdings continued success running this terrific asset.”
Nord/LB arranged the acquisition financing, using a hybrid structure in which Nord/LB and Babson Capital Management LLC together provided a 23-year senior secured, nonrecourse debt facility.
RET Capitalʼs lead investor is BlueMountain Capital Management, a private investment company focused on the global credit and equity derivatives markets. BlueMountain Capital Management has $18 billion in assets under management and offices in New York, London and Tokyo.
About RET Capital
RET Capital is an independent finance platform established to lower the cost of capital for qualified developers and other industry stakeholders by providing reliable takeout financing Focusing on the middle market and working toward standardization, RET Capital will help facilitate accelerated growth in the North American renewable marketplace. RET Capital works closely with selected Asset Partners to establish longterm relationships with developers, EPC firms and utilities to provide growth velocity, predictability and improved margins. RET Capital will work with its Asset Partners to tailor a suitable acquisition strategy and provide predictable “take-out” financing for development liquidity. The RET Capital team endeavors to meet its Asset Partnersʼ objectives through innovative ways to structure and design portfolio acquisition and joint
ownership opportunities. www.renewabletrust.com
About K Road Power
K Road Power is an independent power developer focused on developing, financing, owning and operating utility-scale solar projects. Founded by William Kriegel, K Roadʼs senior management is made up of long-time power sector professionals from Sithe Energies, AES Corporation and Goldman Sachs. Together, K Road principals have a 25-year history of successfully developing and safely operating over 20,000 megawatts of conventional and renewable power assets, consistently creating exceptional value for both shareholders and project stakeholders. K Road promotes sustainable, renewable energy development with a focus on reliability and efficiency in concert with environmental and social responsibility. K Road has offices in New York City. In August 2011, Barclays Natural Resource Investments, a division of Barclays Bank PLC, entered into a partnership with K Road Power to equity fund the continued development, construction and operations of K Road Powerʼs utility-scale solar portfolio. www.kroadpower.com
About BlueMountain Capital Management
BlueMountain Capital Management is an investment firm focused on the global credit and equity derivatives markets. BlueMountain, founded in 2003, is led by a senior and experienced management team of nine Managing Partners who work closely together: Andrew Feldstein, Alan Gerstein, Peter Greatrex, Michael Liberman, Bryce Markus, David Rubenstein, Jes Staley, Stephen Siderow and Derek Smith. The firm has been SEC-registered since its inception. BlueMountain’s investment approach integrates fundamental company research, advanced quantitative methods and market and product knowledge. Its investment strategies range from highly fundamental to nearly pure arbitrage. BlueMountain’s edge lies in its focus on the seams and intersection of markets characterized by a high degree of artificial boundaries amongst instrument types and investment mandates. www.bluemountaincapital.com