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U.S. Community Solar Developer Nexamp Raises $520 Million to Accelerate Deployment – ESG Today

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Energy Transition/ Private Equity & Venture Capital

U.S. Community Solar Developer Nexamp Raises $520 Million to Accelerate Deployment

Susan Lahey

April 12, 2024

Distributed solar and energy storage solutions developer and operator Nexamp announced that it has raised $520 million, with proceeds from the financing aimed at accelerating its growth as the company expands into new markets and builds renewable energy and storage capacity.

Founded in 2007, Boston-based Nexamp focuses on the deployment and operation of solar energy assets, with capabilities across the solar project life cycle, including project development, design and construction, as well as financing, maintenance and operation. The company currently serves nearly 80,000 customers and maintains a portfolio of over 1.5 gigawatts of generating and in-construction capacity.

In a statement announcing the financing, Nexamp said that the new investment “reflects the immense surge in demand for renewable power across the country” and growing investor appreciation “of the essential need to balance utility-scale infrastructure with reliable distributed power solutions in navigating the clean energy transition,” with community solar emerging as the fastest growing segment in the industry.

Nexamp CEO Zaid Ashai said:

“This landmark financing comes at a pivotal moment in the evolution of America’s energy economy, and underscores the indispensable role of community solar in democratizing access to clean, affordable energy solutions for every American. This unprecedented investment reflects swelling confidence in the ability of independent renewable energy providers to reimagine outmoded infrastructure and reshape our grid.”

Nexamp said that it has several gigawatts of project capacity in development over 20 markets. The company said that the new capital will be used to expedite deployment of its national project pipeline, accelerate expansion and developer partnerships in new and existing markets, and fuel the continued growth of its generation and consumer-driven offerings.

 The investment was led by Manulife Investment Management, alongside existing investors Diamond Generating Corporation and Generate Capital.

Pradeep Killamsetty, Managing Director at Manulife Investment Management said:

“We believe in community solar and Nexamp has built an exceptional platform to meet the moment. We are proud to support the Nexamp team in their efforts to further expand their community reach and execute on their growth plans for a cleaner future.”

Susan Lahey

Susan Lahey started her career as a business reporter for The Kansas City Star and has worked as a freelancer covering business, investment, technology, sustainability and science for numerous publications. She has also worked as a writer and editor for publicly funded projects mandating environmental cleanup of a molybdenum mine in Northern New Mexico; and recovery and resiliency measures following Hurricane Maria in Puerto Rico. Recently she worked as Director of Communications for a European wave energy company.

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