Energetic Capital’s EneRate Credit Cover mitigates offtaker credit risk, unlocking deployment wind energy in MISO region
BOSTON–(BUSINESS WIRE)–Energetic Capital has played a critical role in securing permanent financing for a large wind farm in the MISO region. The project, sponsored by a leading renewable energy developer, will add more than 40MW clean power to the grid.
This deal was backed by a leading global project finance bank. Energetic Capital’s credit insurance product, the EneRate Credit Cover, was key to the transaction, mitigating offtaker credit risk in the case of a sub-IG energy buying subsidiary and enabling the lender to offer more competitive terms to the project sponsor.
“This transaction represents the flexibility and scalability of our underwriting to support projects across asset type, scale and contract structure. We are committed to expanding access to sustainable energy solutions,” said Jeff McAulay, CEO. “This policy exemplifies how credit-enhancement tools can address challenges in today’s evolving PPA landscape, enabling developers and financiers to move projects forward with confidence.”
Energetic Capital has enabled $800 million project value across multiple forms of distributed energy assets, covering 1,500 sites in 46 states. Its credit insurance product has also contributed to reducing carbon emissions by 114,700 metric tons. This wind farm project further cements Energetic Capital’s commitment to driving the clean energy transition.
The transaction is an important milestone for Energetic and for the industry as a whole as the industry moves to meet clean energy targets and combat climate change. To learn more about Energetic’s products reach out!
NOTE: This Press Release does not constitute and is not intended by Energetic Capital or any of the entities mentioned in this release to constitute a solicitation for any insurance business.
About Energetic Capital (www.energeticcapital.com)
Energetic Capital is a specialty financing company with a novel, data-driven approach to develop new risk management products to unlock investment in the renewable energy industry. Our first product, EneRate Credit Cover®, unlocks renewable energy project financing for unrated and below investment grade counter parties by covering counterparty credit risk. In 2023, Energetic added lending capabilities in order to provide more solutions for its customers.
Headquartered in Boston, Energetic Capital was awarded a SunShot Prize from the US Department of Energy in 2017 and has received a total of $5M in financing to date. EneRate Credit Cover® and other insurance policies are issued by RE3 Energetic Insurance Solutions, LLC, or SiKey Insurance Services, LLC in New York, wholly-owned subsidiaries of Energetic Insurance, Inc. d/b/a Energetic Capital. Energetic Capital complies with all state-mandated regulations for surplus line insurance brokers and RE3 Energetic Insurance Solutions, LLC is licensed as a surplus lines broker in Massachusetts with License #: 2053916.
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