8minutenergy and Capital Dynamics enter definitive agreement for sale of 120 MW solar project in California

8minutenergy Renewables, LLC has announced that it has entered into a definitive agreement to sell the equity interests of the 121 MW Springbok 3 Solar Farm in Kern County, California to Capital Dynamics, an independent global private asset management firm.

The project is the third installation in the Springbok cluster, joining 8minutenergy’s 137 MW-dc Springbok 1 project and 191 MW-dc Springbok 2 project to supply clean energy to more than 152,000 Los Angeles households. Springbok 3 will break ground later this year, and commercial operation is slated for June 2019. 

8minutenergy will continue to be the project developer and construction manager. Although terms of the transaction are not being disclosed, Capital Dynamics is currently arranging tax equity and debt financing for the project, with financial closing and regulatory approvals expected in Q4 2018.

8minutenergy previously announced the Springbok 3 PPA with the Southern California Public Power Authority (SCPPA) on behalf of its participating member, the Los Angeles Department of Water and Power (LADWP).  Springbok 3 has a 27-year power purchase agreement with SCPPA, with an option for a three-year extension.

8minutenergy engaged several advisory firms to close the transaction, most notably Bank of America Merrill Lynch as the lead financial advisor, and Orrick, Herrington, and Sutcliffe as legal counsel. Capital Dynamics was represented by Amis, Patel, & Brewer, LLP as legal counsel.