KKR’s majority equity investment and arrangement of a new development facility to accelerate the deployment of Avantus’ pipeline, including some of the nation’s largest solar and energy storage projects

New York — July 30, 2024 – Today, Avantus, a premier U.S. developer of utility-scale solar and solar-plus-storage projects, and KKR, a leading global investment firm, announced the completion of the acquisition of a majority equity interest in Avantus by investment funds and accounts managed by KKR. Coinciding with the close of the transaction, Avantus has secured a $522 million development facility arranged by KKR Capital Markets and Sumitomo Mitsui Banking Corporation (SMBC). The facility provides Avantus the financial backing to fuel the company’s growth and execute on its development portfolio, which now spans more than 30 gigawatts (GWdc) of solar and 94 GW hours (GWh) of energy storage across the Western United States.

“There is enormous opportunity ahead for Avantus, and we look forward to supporting the company in this next phase of growth. The need for clean energy in the United States is increasing substantially, driven by many factors including data center demand, the rise of artificial intelligence, and growth in electrification. Avantus is well positioned to capitalize on these tailwinds,” said Cecilio Velasco, Managing Director in KKR’s Infrastructure team.

KKR is participating in the facility through vehicles and accounts managed by KKR’s insurance business. The proceeds will be used to accelerate the build-out of Avantus’ pipeline and fund key activities, including security postings for power purchase agreements (PPAs), interconnection agreements and procurement deposits.

“This announcement is a ringing endorsement of our proven team at Avantus, providing us the capital to advance our portfolio and develop high-performing, high-value clean energy projects,” said Stephanie Perry, Chief Operating Officer at Avantus. “We are excited to work with KKR and our existing investor EIG to achieve our growth plans and build on our track record of delivering record-breaking clean energy solutions that will decarbonize our planet at scale.”

In March, KKR announced that it had agreed to acquire a majority interest in Avantus. With the close of the transaction, KKR and EIG, a leading institutional investor in the global energy and infrastructure sectors, are the sole equity investors in Avantus. Together, KKR and EIG have invested upwards of $1 billion through equity and debt commitments to support Avantus’ growth.

Since its founding, Avantus has developed and sold projects and interconnection positions totaling 7.3 GWdc of solar and 17 GWh of storage. The company has a substantial presence and track record of successful development in the southwestern U.S., California and Texas power markets, while supporting local communities and the environment.

With over 15 years of experience in infrastructure investing, KKR has deep expertise in renewable energy and climate-related investments and has invested more than $15 billion in this sector from its infrastructure platform alone. KKR is funding the investment from its global climate strategy, which is dedicated to investing in solutions at scale to support the transition to a low-carbon economy.