SolarCity Corp. announced Monday that the company has raised $345 million in tax equity from four separate partners in June and July to finance new solar projects. The financing facilities cover the capital cost of new equipment and installations, and according to the press release, “make it possible for customers to pay less for solar power than they pay for utility power.”
SolarCity also expanded its existing debt aggregation facility to $760 million, an increase of $110 million. SolarCity added two new lenders to the facility, which accounted for $70 million of the $110 million figure.
SolarCity's capital markets team has raised more than $1.5 billion in project financing to date in 2016. Investment in rooftop and other small-scale solar is expected to attract $3.4 trillion over the next 25 years, according to Bloomberg New Energy Finance's New Energy Outlook 2016 report.
Last month, electric car company Tesla Motors Inc. (TSLA - Free Report) offered to buy SolarCity for $2.8 billion. If approved, the deal would unite two of Elon Musk’s most recognizable companies. Musk is Tesla’s chief executive and SolarCity’s chairman.
SolarCity has a Zacks Rank #3 (Hold), and as of 12:24 ET PM, shares of SCTY were up 3.63%.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>