ForeFront Power Secures Major Financing to Advance Distributed Solar and Storage Growth
ForeFront Power, a recognized leader in commercial and industrial-scale (C&I) solar and battery storage development, has announced the successful closing of its ninth distributed generation fund. This achievement marks another significant milestone in the company’s long-term strategy to expand its clean energy footprint across the United States. The fund includes a multifaceted financial package consisting of debt financing arranged through a consortium of top-tier financial institutions, a partial equity sell-down to an undisclosed investor, and a substantial investment tax credit (ITC) purchase commitment. Collectively, these components will fuel ForeFront Power’s continued construction activities and strengthen its platform growth over the next several years.
At the center of this transaction is a 95-megawatt (MW) distributed generation portfolio spread across four U.S. states. The portfolio includes more than 100 behind-the-meter solar and battery storage projects, which serve a mix of commercial, industrial, and public-sector customers seeking reliable and cost-effective clean energy solutions. As part of the deal, an unnamed investor has acquired a partial equity stake in the portfolio, helping to unlock capital for ongoing development activities.
Complementing the equity structure is an ITC purchase agreement valued at $210 million from a separate counterparty. These investment tax credits are tied to the distributed energy assets included in the portfolio and form a significant element of the fund’s financial foundation. The combined capital — though undisclosed in total — from the debt financing, equity sell-down, and tax credit sale provides ForeFront Power with the liquidity and financial certainty required to move forward aggressively with its development pipeline.
A major driver behind the execution of this fund was the collaboration with several respected financial institutions. MUFG Bank, Ltd. served as the lead arranger and administrative agent for the debt financing. Cadence Bank joined as collateral agent, while Sumitomo Mitsui Trust Bank and Mitsubishi HC Capital America participated as co-lenders. This consortium brought significant expertise to the table, particularly in navigating the complexities associated with distributed generation financing, which often requires tailored structures to manage the operational diversity and geographic spread of assets.
According to Bryan Eckstein, ForeFront Power’s Chief Financial Officer, this ninth fund draws upon the company’s proven model for efficient, repeatable, and flexible financing. He highlighted that the fund benefits from a market-leading cost of capital, provided by highly reliable investors and lenders who understand the nuances of distributed clean energy assets. Eckstein emphasized that MUFG’s extensive experience in the sector played a critical role in structuring a financially sound and operationally practical deal, enabling ForeFront Power to scale its development activities efficiently.
Echoing this sentiment, Takaki Sakai, Managing Director at MUFG, noted the importance of this transaction during a time of rising electricity rates and expanding energy needs across the country. Sakai underscored ForeFront Power’s leadership in helping private companies and public agencies manage and reduce electricity spending through innovative behind-the-meter solar and storage solutions. He reaffirmed MUFG’s commitment to supporting ForeFront Power as a trusted and proven sponsor with a strong record of advancing distributed energy technologies.
With the closing of the ninth fund, ForeFront Power now has the financial certainty to maintain momentum on its expansive development pipeline. This includes accelerating the construction of projects already underway and advancing new distributed energy initiatives designed to serve customers seeking greater energy independence, cost savings, and resilience. The fund will also enable the company to reinvest in its platform operations, enhancing its capabilities in design, engineering, procurement, construction, and long-term asset management.
Eckstein emphasized that securing this fund is not merely a financial accomplishment but a strategic one, ensuring stability for ForeFront Power’s long-term vision. “Closing this fund provides the certainty and stability required for ongoing distributed energy resource development for our customers and our shared communities,” he said. This stability is essential not only for ForeFront Power’s internal operations but also for the many commercial, industrial, and public-sector clients who depend on its clean energy solutions.
The successful close of this ninth fund demonstrates continued confidence from institutional investors in the distributed generation sector, particularly at a time when clean energy demand is rapidly increasing. It also underscores ForeFront Power’s role as a leading developer capable of delivering scalable and financially robust projects that meet the evolving needs of customers across the country.
As U.S. businesses and communities face growing pressure to reduce emissions, manage energy costs, and improve resilience, the ability to deploy behind-the-meter solar and battery storage projects at scale has become increasingly essential. ForeFront Power’s latest fund positions the company to play a central role in this transition, providing the financial support necessary to expand distributed energy resources and drive broader clean energy adoption.
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