15 Nov 2022
DSD Renewables (DSD) has secured a $40 million tax equity investment from U.S. Bank to support its 2022 and 2023 build plans, enabling DSD to capture full tax attributes of its installed solar systems while delivering clean, renewable energy for customers.
The financing will fund a 45 MW portfolio consisting of a diverse mix of community solar, power purchase agreement (PPA), and feed-in-tariff projects. About half of the projects are located in New York, with the remaining projects scattered across Connecticut, Maine, Maryland, Minnesota, New Jersey, and Virginia.
“This tax equity investment will help DSD optimize value for many key projects under development and enable us to continue supporting the energy transition across the U.S.,” says Hannah McGovern, DSD’s Vice President of Structured Finance. “We are excited to be partnering with U.S. Bank and look forward to expanding our work together in the future.”
The tax equity financing represents DSD’s first transaction with U.S. Bank, which commits $1 billion annually to renewable energy investments and has set a goal to achieve net zero greenhouse gas emissions by 2050.
“We believe everyone has a role to play in creating a sustainable future and helping reduce the impacts of climate change,” said Colin Witherspoon, business development officer with U.S. Bancorp Community Development Corporation’s Environmental Finance team. “Investments like this are one way we can do our part and contribute to our own net zero goals, while supporting DSD and its work to expand access to clean energy.”
By the end of the year, DSD will have raised over $1.5 billion in funding to support its growth and accelerate solar project deployment in 22 states across the nation.
McDermott Will & Emery LLP served as counsel to DSD on the transaction.
DSD Renewables | https://dsdrenewables.com/
U.S. Bank | https://www.usbank.com/index.html