SolarBank Corporation announced on November 27, 2024, that its subsidiary secured a $3 million loan from RE Royalties Ltd. This financing is specifically for three 4.99 MW Battery Energy Storage System (BESS) projects located in Ontario, which represent SolarBank's initial entry into the battery energy storage market.
The BESS projects were acquired as part of the $45 million acquisition of Solar Flow-Through Funds Ltd., which closed in July 2024. The loan bears an interest rate of 11% per annum and has a maturity date of November 26, 2025, with a 0.40% royalty on gross revenues granted to the lender.
Matthew Wayrynen, Chair of SolarBank, stated that this financing is a key step toward a cleaner future and the further diversification of SolarBank's project portfolio. The loan will cover incurred development and construction costs, with the company continuing to advance a project financing package for the full construction costs of the projects.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.