Shell US solar platform raises €686m

Silicon Ranch will use the equity finance to support construction and accelerate growth

7 January 2022 Solar[Image: Shell]

Shell's US solar platform Silicon Ranch Corporation has raised $775m (€686m) in new equity capital to support construction of its contracted pipeline and the acceleration of its customer-led growth strategy.

The strategy is aiming to develop new projects, enter new markets and pursue strategic acquisition opportunities.

Manulife Investment Management, on behalf of Manulife Infrastructure Fund II and John Hancock, led the round with about a $400m commitment, its first investment in the company.

Manulife Investment Management is joined in the round by existing Silicon Ranch shareholders, including Shell, TD Greystone Infrastructure Fund, and Mountain Group Partners.

Subject to regulatory approvals, the transaction is expected to close in the first quarter of this year.

Silicon Ranch founder and chief executive Reagan Farr said: “As a society we are still in the early stages of the global energy transition and find ourselves at an inflection point defined by both critical need and enormous opportunity.

“This significant capital raise positions Silicon Ranch to play an important role in this transition and enables us to deliver customer solutions and make meaningful capital investments in the rural communities we serve.

“Silicon Ranch is honoured to welcome Manulife Investment Management as our newest business partner, and we thank them and our existing shareholders for the trust and confidence they have placed in our team.”

Manulife Investment Management head of infrastructure investments Recep Kendircioglu said: “We are pleased to make this investment on behalf of our clients and thrilled to become long-term equity partners with Silicon Ranch.

“We view Silicon Ranch as an innovative leader in the US energy sector and look forward to working closely with its talented management team to grow and scale the business in the years to come.”