HASI (NYSE: HASI), a leading investor in climate solutions, announced an investment in a portfolio of renewable energy assets developed, owned and operated by The AES Corporation (NYSE: AES), a Fortune 500 global energy company and one of the largest developers and operators of clean power in the United States.
Per the agreement, which reached financial close on December 22, 2023, HASI will make a structured equity investment in an approximately 605-megawatt (MW) portfolio of solar and solar-plus-storage assets spanning seven power markets and 11 states: Arizona, California, Colorado, Connecticut, Georgia, Hawaii, Illinois, Massachusetts, New York, Rhode Island, and Vermont. The portfolio consists of more than 200 operational renewable energy projects, composed primarily of community solar and commercial & industrial solar assets, with more than a third of the total capacity paired with battery energy storage.
With a weighted average remaining contract life of 16 years, the portfolio’s cash flows are contracted with a diverse group of predominately investment-grade corporate, utility, and municipal off-takers. AES will continue to own and operate the assets.
The transaction further expands the longstanding relationship between HASI and AES. In January 2023, HASI announced a common equity investment with AES in an approximately 1.3-GW portfolio of operating utility-scale solar and wind projects. Additionally, HASI and AES’ clean energy business in the U.S. have a six-year track record of successful solar land transactions.
“HASI is immensely proud to advance our partnership with AES with this latest transaction,” said Susan Nickey, Chief Client Officer of HASI. “Together, we share an unwavering commitment to accelerating the energy transition. AES’ exceptional leadership in closely aligning renewable energy supply with demand is precisely the focus our industry needs for the next phase of growth. This investment not only significantly expands our programmatic investment partnership but also offers diversification and scale to our balance sheet.”
“AES’ purpose is to accelerate the future of energy,” said James Marshall, Chief Financial Officer for AES’ clean energy business in the U.S. “This investment in AES’ operating renewables portfolio represents a continuation of our partnership with HASI that will free up capital to develop and build new clean energy projects in the U.S.”
