Morgan Stanley and Santander invest $520 million in solar projects

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Energix, a global renewable energy developer headquartered in Israel, announce the close of two major transactions to fund six large utility-scale solar projects in the United States.

Morgan Stanley Renewables and Santander Corporate Investment and Banking and combined for a $520 million investment in the project portfolio, with each contributing $260 million. Santander CIB is providing a construction and term loan facility, and Morgan Stanley acting as a tax equity investor.

Energix said the total tax equity contribution could be higher based on the project companies’ investment tax credit eligibility. The funds acquired through these transactions are expected to be used to support six large utility-scale solar projects in Virginia and Pennsylvania with a combined total capacity of 416 MWdc.

The funding brings Energix’s total investment in U.S. energy infrastructure to nearly $1 billion. The latest transaction also marks the third tax equity deal Energix has closed with Morgan Stanley. The prior two deals were closed in 2020 and 2021 and were associated with eight projects in Virginia totaling about 200 MWdc.

“Energix is thrilled to announce this new collaboration with Santander CIB. This partnership opens up exciting avenues for Energix to expand its footprint and harness Santander’s extensive network and resources,” said Itamar Sarussi, country manager, Energix US.

Energix Renewables entered the U.S. market in 2016 and has quickly scaled to a large player in utility-scale solar in the Mid-Atlantic region. The company has stated a commitment to identifying community partners, hiring local contractors, and investing in American-made equipment.

To date, Energix Renewables owns, operates, and maintains nine utility-scale solar facilities with a capacity of 224 MWdc across the Mid-Atlantic. With the additional investment from Morgan Stanley and Santander CIB, Energix is projected to have 640 MWdc of operational projects by the end of 2023.

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