U.S.-based First Solar has received a five-year revolving credit and guarantee facility for $1 billion, which includes $250 million for the issuance of letters of credit.
Between the second half of 2023 and 2026, First Solar has planned to add about 8 GW of new capacity and is anticipating to have a global manufacturing footprint of over 20 GW.
The company plans to commission a new 3.4 GW manufacturing facility in India in the second half of 2023. The solar manufacturer also expects to add a new 3.5 GW factory in Alabama in late 2024 and expand its Ohio operations by 0.9 GW by 2026.
First Solar is also funding $370 million for a research and development innovation center in Perrysburg, Ohio, anticipated to be completed in 2024.
“This agreement underscores First Solar’s bankability and is underpinned by the strong fundamentals that drive our business today,” said Mark Widmar, chief executive officer, First Solar. “We are focused on exiting this decade in a stronger position than we entered it and liquidity is a crucial differentiator that we intend to maintain. This revolving credit facility provides us the financial headroom and flexibility we need, while also balancing our ability to grow in response to demand for our technology.”
J.P. Morgan Chase Bank was Lead Arranger and Administrative Agent for the facility, while the other banks participating were Joint Lead Arrangers Bank of America, Citibank, Credit Agricole CIB, and PNC Bank. BNP Paribas, Goldman Sachs Bank USA, HSBC Bank USA, MUFG Bank, Standard Chartered Bank, and Truist Bank were the lenders associated with the facility.
“We’re focused on helping clients meet the world’s need for secure, reliable and affordable energy, while advancing long-term clean energy solutions to reduce our global carbon footprint," said Mike Lister, Head of J.P. Morgan Energy Power & Renewables Corporate Banking.
