First Citizens Bank division CIT’s Power and Energy business is serving as coordinating lead arranger of construction financing for a major new solar energy project in Texas. Avantus (formerly 8minute) is the developer of the 147 MW DC solar power facility now under construction in Concho County, Texas. The project, known as Galloway 2, is adjacent to the Galloway 1 solar project, which was built in 2020 with CIT-led construction financing.
Allianz Capital Partners, an owner and operator of renewable power projects, has purchased a majority interest in the project and will co-own the project alongside Avantus. The project will be supported in part by a long-term purchase power agreement with EDF Energy Services. Tenaska led the tax equity investment for the project and Tenaska’s power marketing affiliate, Tenaska Power Services Co., will serve as the qualified scheduling entity when the project comes online in 2023.
“We continue to see strong demand for solar projects that supply low-cost, clean renewable power to consumers and businesses,” says Dr. Tom Buttgenbach, founder and CEO of Avantus. “We greatly appreciated the expertise and continued partnership with CIT’s Power and Energy team in leading the financing for this exciting new project.”
“We were pleased to lead financing for this Galloway 2 solar project, just as we were proud to serve as coordinating lead arranger on the initial Galloway project financing in 2020,” states Mike Lorusso, managing director and group head for CIT Power and Energy.