Sunnova Launches Its Green Financing Framework and Prices a $212 Million Securitization of Residential Solar and Battery Loan Agreements

Sunnova Energy International Inc. (“Sunnova”) (NYSE: NOVA), today announced the pricing of its fourth solar loan securitization and its tenth residential solar securitization. Sunnova also announced the launch of a new green financing framework (the “Green Financing Framework”) that will guide Sunnova’s investments in new and existing projects that have environmental benefits.

“This securitization, priced at a 1.82% blended coupon, represents Sunnova’s highest-rated, lowest cost of capital issuance to-date,” said Robert Lane, Executive Vice President, Chief Financial Officer of Sunnova. “It is the second transaction structured to align asset debt service with asset cash flows, increase free cash flow to Sunnova, and accelerate the issuance of a bullet-maturity green bond.”

“Through our energy services, we are working to accelerate our ESG impact and to create shared value for our customers, employees, communities, partners, and investors,” said Kelsey Hultberg, Executive Vice President, Chief of Staff of Sunnova. “Consistent with our commitment to sustainable business practices and advancing corporate social responsibility within the solar industry, we are proud to launch our Green Financing Framework which will guide the issuance of our green financings.”

The Green Financing Framework underscores Sunnova’s commitment to environmental sustainability, allows Sunnova to demonstrate its qualifications to investors who seek third-party assessed renewable energy investment opportunities, and will diversify Sunnova’s access to capital. The Green Financing Framework has been subject to an independent external assessment by CICERO Shades of Green, which has classified the Green Financing Framework as Dark Green—its highest level. Under the Green Financing Framework, financings will be required to meet internal eligibility criteria that align with the International Capital Market Association’s Green Bond Principles (“Green Bond Principles”), and net proceeds from any financings may be used for the capital investment, research, development, acquisition, manufacturing, distribution, maintenance and operation of solar energy and storage systems and enabling technologies for solar energy storage and optimization. The Green Financing Framework and CICERO Shades of Green’s Second Opinion can be found here.