New York, October 5, 2023: Morgan Lewis advised Ashtrom Renewable Energy on an approximately $270 million green financing from a group of five banks for the Tierra Bonita solar project in Texas, which has a planned capacity of approximately 400MWdc (306 MWac).
Morgan Lewis also advised Ashtrom Renewable Energy on its signing of a tax credit transfer agreement (TCTA) to sell the production tax credits (PTCs) to be produced by the project to a highly rated US institutional entity over a 10-year period. The total value of the PTCs is estimated to be around $300 million. This is believed to be the first solar project in the United States to complete a 10-year forward TCTA for solar PTCs under the Inflation Reduction Act (IRA) and to complete financing under a project finance structure.
Ashtrom Renewable Energy, a subsidiary of Ashtrom Group (Israel), is a global independent power producer and renewable energy developer.
The Morgan Lewis team included partners James Tynion, Laura Neumeister Wright, Jane Kang, and Paul Gordon and associates Jonathan Wilcon, Raphaëlle Debenedetti, Andreas Andrews, and Kristin Hasselgren, with the support of many other Morgan Lewis lawyers.