Secures $1.8 billion credit facility to drive growth strategy
Lightsource bp, a joint venture between energy company bp and Lightsource bp management, announced today a new ambition to reach 25GW of developed solar projects by 2025. To help fuel its growth strategy, the company has secured a $1.8 billion credit and trade finance facility from a consortium of 10 global financial institutions.
Lightsource bp estimated that its new growth strategy create over 500 new jobs within the company over the next four years.
Nick Boyle, Group Chief Executive for Lightsource bp, said:
“Globally, renewable energy is shifting from a mindset of gigawatts to terawatts. Investments are being made by the billion, not the million. And big companies like Amazon, McDonald’s and eBay are switching to clean energy. This trend proves that renewables are mainstream and solar is playing a key role in addressing the climate crisis.
“If we’re going to meet the commitments of the Paris Agreement — business as usual isn’t going to cut it. Our industry-leading 25GW by 2025 target and the finance package are further proof that Lightsource bp has left business as usual far behind.”
The new goal marks a significant acceleration in Lightsource bp’s growth. Since founding in 2010, the company has developed 3.8GW of solar projects globally. The company has been actively ramping its business this year, including recent deals in Spain to acquire an 845 MW solar portfolio from solar developer Iberia Solar, and a 1.06 GW portfolio from RIC Energy.
In June, Lightsource bp also announced that it is developing a 9 GW portfolio of solar development projects in the US for bp.
Dev Sanyal, bp’s Executive Vice President of Gas and Low Carbon, said:
“In the four years since we formed Lightsource bp, it has tripled its footprint and doubled its workforce. The speed and breadth of that expansion is testament to the power of this partnership and what an integrated energy company with global reach brings to the table. Couple that with the drive and delivery of Lightsource and that’s where the magic happens.
“Lightsource bp has developed more than 30 projects, which today have consistently delivered 8 to 10% returns. So when people ask if we really have the capability to deliver the returns we talk about, the answer couldn’t be clearer – yes, we can because we are. Lightsource bp continues to deliver and it continues to grow. And quite frankly we love it – because it works.”
Financial institutions providing funding for the new $1.8 billion credit facility included BNP, SocGen, Santander, Natwest, Lloyds, Mitsubishi UFJ Financial Group, Sumitomo Mitsui Banking Corporation, Canadian Imperial Bank of Commerce, Toronto Dominion and Wells Fargo.