MUFG will provide programmatic funding to support the current and future construction of Convergent’s distributed generation portfolio
NEW YORK–(BUSINESS WIRE)–Convergent Energy and Power (Convergent), a leading provider of distributed energy storage solutions in North America, today announced that it has closed a programmatic construction-to-term loan, tax equity bridge loan, and letter of credit facility with Mitsubishi UFJ Financial Group (MUFG). The funding will provide capital for Convergent to accelerate construction of its energy storage and solar PV portfolio across North America.
The facility is structured such that Convergent will receive funding for its near-term distributed-scale systems as the company breaks ground on hundreds of millions of dollars of additional energy storage and solar PV systems. The initial facility anticipates $150M in funding and provides a framework for future financing rounds as Convergent adds to its existing pipeline of over $1bn in opportunities.
“This construction facility ensures that we will continue to be a leader in providing cheaper, cleaner, and more reliable energy to businesses and utilities,” said Convergent’s CFO and Co-Founder, Frank Genova. “Distributed generation assets are integral to the clean energy transition and provide critical infrastructure to modernize our aging power grid. We applaud MUFG for recognizing the strength of Convergent’s platform and look forward to expanding our partnership in the years to come as we meet the growing demand for more cost-effective, reliable, clean energy solutions—particularly battery storage.”
Convergent has more than a decade of expertise financing and managing all aspects of the energy storage development cycle to help customers reduce electricity costs and increase reliability. The company’s industrial and utility-scale assets can yield seven-figure savings while advancing the clean energy transition.
“Convergent has emerged as a leading platform in the clean energy transition through its ability to get systems built efficiently and cost-effectively,” said Fred Zelaya, Managing Director, MUFG. “As demand for electricity rises, distributed generation assets, like battery storage, will support the delivery of clean, reliable power. We’re proud to offer a customized and long-term financing solution to Convergent as it continues its strong track record of bringing critical energy storage solutions online.”
Convergent has over 800 MW / 1 GWh of energy storage and solar-plus-storage systems operating or under development and over $1bn invested in or committed to systems in operation or under development.
About Convergent Energy and Power
Convergent Energy and Power (Convergent) is a leading provider of energy storage solutions in North America. Convergent has over a decade of experience financing and managing all aspects of the energy storage development cycle to help customers reduce electricity costs and increase reliability. The company’s commercial, industrial, and utility-scale assets can yield seven-figure savings while advancing the clean energy transition. Convergent’s proprietary asset management platform, PEAK IQ® leverages machine learning and deep market knowledge to optimize asset performance and maximize value. Convergent has over $1bn invested in or committed to assets in operation or under development across North America. For more information, visit convergentep.com or follow us on LinkedIn.
About MUFG and MUFG Americas
Mitsubishi UFJ Financial Group, Inc. (MUFG) is one of the world’s leading financial groups. Headquartered in Tokyo and with over 360 years of history, MUFG has a global network with approximately 2,100 locations in more than 50 countries. MUFG has nearly 160,000 employees and offers services including commercial banking, trust banking, securities, credit cards, consumer finance, asset management, and leasing. The Group aims to be “the world’s most trusted financial group” through close collaboration among our operating companies and flexibly respond to all the financial needs of our customers, serving society, and fostering shared and sustainable growth for a better world. MUFG’s shares trade on the Tokyo, Nagoya, and New York stock exchanges.
Contacts
Convergent Press Contact
Kate Siskel
SVP, Marketing and Communications
Convergent Energy and Power
ksiskel [at] convergentep.com
917-508-0274
MUFG Press Contact
Alicia Faugier
Corporate Communications
[email protected]