SunPower Corp. agreed to sell its 49 percent stake in a 102-megawatt solar farm in California to 8Point3 Energy Partners LP, a yieldco it co-founded with fellow manufacturer First Solar Inc. 8point3 also raised revenue guidance for 2016.
The yieldco agreed to pay $134 million for the stake in the Henrietta project in San Luis Valley, San Jose, California-based 8Point3 said in a statement Tuesday. It expects to close the deal this month.
8Point3 plans to fund the acquisition through a combination of cash on hand, borrowings under its existing credit facility and issuing additional equity, according to a separate statement Tuesday. That credit facility may soon be enlarged; 8Point3 said a group of banks committed to funding a $250 million increase to the existing credit facility, including a combined $150 million from Bank of America Corp. and Wells Fargo & Co.
Michael Morosi, an analyst at Avondale Partners LLC in Nashville, said in a research note Wednesday that he foresees a $100 million to $150 million equity offering.