Funds managed by Apollo affiliates have agreed to make a $175 million strategic investment in Summit Ridge Energy LLC, an owner-operator of community solar assets.
Since launching in 2017, Summit Ridge has formed two joint ventures totaling over $1 billion in permanent project capital and has grown its portfolio of solar projects in operation or under construction to more than 300 MW. By the end of 2023, Summit Ridge expects to have more than 500 MW of solar and 100 MWh of battery storage projects online providing energy savings to approximately 175,000 residential and commercial customers.
“Summit Ridge is an ideal partner for Apollo in the community solar segment as a first mover with a flexible, fully integrated business model and a proven management team,” says Wilson Handler, an Apollo partner. “With this investment, we see tremendous opportunity to access a high-growth segment of the renewables market while also producing positive environmental and social outcomes for local stakeholders. We look forward to working with Steve and the rest of the Summit Ridge team to execute on its current pipeline while exploring additional opportunities to create value.”
“Summit Ridge is on a strong trajectory, and we are excited to welcome Apollo as a new partner,” states Summit Ridge Energy CEO Steve Raeder. “Apollo’s long track record of sustainable investing, coupled with its operational expertise and significant resources, are an excellent match for Summit Ridge’s fast-paced growth and leading position in the clean energy economy.”
As a result of the investment by the Apollo funds, Apollo partners Corinne Still and Wilson Handler will join Summit Ridge Energy’s board of directors. Summit Ridge Energy’s CEO, Steve Raeder, will continue to serve as the board’s chairman.
“We are pleased to work with Summit Ridge to expand access for underserved communities to participate in the clean energy transition,” Still says. “Community solar offers compelling benefits for individuals, households and businesses alike. In supporting Summit Ridge’s continued growth, we expect to have a significant positive impact on communities by facilitating increased uptake of renewable energy sources, creating local jobs and developing sustainable infrastructure.”
Vinson & Elkins served as legal counsel to the Apollo funds in the transaction. Citibank N.A. served as lead financial advisor, and Saul Ewing served as legal counsel to Summit Ridge.