Arevon Achieves $352 Million Financial Close for Posey Solar Project in Indiana
Arevon Energy, Inc., a leading renewable energy developer, owner, and operator, announced it has closed financing on a $352 million package to build the company’s 228 megawatt (MWdc) Posey Solar Project in Posey County, Indiana. The project, which is expected to come online in Q1 2025, will generate enough clean electricity to annually power the equivalent of more than 25,000 homes.
The Posey Solar Project financial close included a $317 million construction loan and a $35 million letter of credit facility. Canadian Imperial Bank of Commerce (CIBC) served as the Coordinating Lead Arranger, Green Loan Coordinator, Bookrunner, and Administrative Agent. Commonwealth Bank of Australia served as the Coordinating Lead Arranger, Green Loan Coordinator, and Letter of Credit Issuer. Banco Bilbao Vizcaya Argentaria (BBVA), Bayerische Landesbank (BLB), Lloyds Bank, and PNC Bank served as Joint Lead Arrangers. The Bank of New York Mellon served as Collateral and Depositary Agent.
Southern Indiana Gas and Electric Company will acquire the Posey Solar Project from Arevon through a build-transfer agreement after completion of construction. Bechtel is the project’s engineering, procurement, and construction (EPC) contractor.
“Posey Solar is an important example of how Arevon works with utility partners to meet their sustainability goals and progresses new solar projects that will improve the energy security of communities across America while helping strengthen local economies,” said Kevin Smith, CEO at Arevon. “Reaching financial close on this transaction would not have been possible without the collaboration from our long-standing financial partners, with whom we celebrate this accomplishment.”
“CIBC is proud to once again support Arevon, acting as Coordinating Lead Arranger, Green Loan Coordinator, Bookrunner, and Administrative Agent for the Posey Solar Project. This financing demonstrates our continued commitment to the U.S. renewable energy space as we work towards enabling a more sustainable future,” said Ines Serrao, MD and Head of US Renewables at CIBC.
Amis, Patel & Brewer, LLP represented Arevon as Sponsor Counsel; Milbank LLP served as Lender Counsel; Husch Blackwell served as Sponsor Local Counsel; and Ice Miller served as Lender Local Counsel.
Along with achieving financial close on the Posey Solar Project, Arevon has announced financial close for three other solar and energy storage projects in recent months, resulting in a total of more than $2.3 billion. In addition to Posey, these include a $529 million financing package for the Vikings Solar-plus-Storage project, a $350 million preferred equity, debt, and ITC transfer financing for the Condor Energy Storage Project, and a $1.1 billion tax equity commitment and debt financing including a construction-to-term loan, a tax equity bridge loan, and letter of credit facilities for the Eland 2 Solar-plus-Storage Project.
Arevon Energy | www.arevonenergy.com
