Peregrine Closes on Debt Financing from KKR

Rhea-AI Summary

Peregrine Energy Solutions , a clean energy platform focusing on utility-scale energy storage, has secured a credit facility from KKR-managed insurance accounts that can provide financing for up to $250 million in assets. This strategic financing will support Peregrine's growing development pipeline, enabling the company to finance equipment, interconnection, and offtake credit security.

Founded in April 2022, Peregrine has developed a pipeline of 22 GWh of storage across five ISOs and 11 states, with approximately 37 projects. The company's team brings over 20 GW of renewable energy and storage facilities development experience. In August 2023, Peregrine announced an agreement with AB CarVal to raise over $700 million in credit, equity, and debt for its projects.

Positive

• Secured credit facility for up to $250 million in assets from KKR
• Developed a pipeline of 22 GWh of storage across 5 ISOs and 11 states
• Team brings over 20 GW of renewable energy and storage development experience
• Previously raised over $700 million in credit, equity, and debt from AB CarVal

Negative

• None.

BOULDER, Colo. and NEW YORK , Oct. 2, 2024 /PRNewswire/ -- Peregrine Energy Solutions LLC ("Peregrine"), an integrated multi-technology clean energy platform with a focus on utility-scale energy storage, and KKR, a leading global investment firm, today announced that Peregrine has closed on a credit facility from insurance accounts managed by KKR that can provide financing for up to $250 million in assets. The financing is a strategic milestone for the company and will be used to finance equipment, interconnection and offtake credit security to support the growth of Peregrine's growing development pipeline. With this new financing, Peregrine will be well positioned to continue to develop its renewable energy portfolio throughout the United States, which spans five independent system operators (ISOs) and 11 states with approximately 37 projects.

Peregrine, founded in April 2022, has originated and developed a pipeline of 22 GWh of storage across SPP, MISO, ERCOT, PJM and WECC. Assets developed and managed by Peregrine benefit from an experienced team of renewable energy veterans who collectively bring over 20 GW of renewable energy and storage facilities development experience. In August 2023, the company announced the signing of an agreement with funds managed by AB CarVal to raise over $700 million of credit, equity and debt to support Peregrine's high-quality projects.

"We could not be more pleased to be working with KKR. We are confident in Peregrine's ability to execute our strategic plan with the support of forward-thinking investors," said Hagen Lee, Founder & Chief Executive Officer of Peregrine. "This facility is a milestone achievement for Peregrine and shows capital is available for developers that continue to innovate in a challenging market. Our ability to site and develop high value assets differentiates our team and creates an attractive investment opportunity."

"We are pleased to support Peregrine with this financing through our Asset-Based-Finance business as the global need for clean energy and storage solutions continues to grow," said Erich Heintzen, Director at KKR.

The financing was arranged by KKR Capital Markets ("KKR") and Sumitomo Mitsui Banking Corporation ("SMBC"). Peregrine was advised by Troutman Pepper Hamilton Sanders LLP as legal counsel, and Piper Sandler & Co. as financial advisor. KKR and SMBC were advised by White & Case LLP as legal counsel.

About Peregrine

Peregrine Energy Solutions is an integrated and multi-technology clean energy platform with a focus on utility scale energy storage that was established in 2022 through a partnership between Peregrine Energy Management and a global alternative investment manager with approximately $20 billion of assets. Peregrine Energy Solutions is a limited liability company formed in Delaware and headquartered in Boulder, Colorado. Additional information is available at www.peregrinesolutions.com.  

About AB CarVal

AB CarVal is an established global alternative investment manager and part of AllianceBernstein's Private Alternatives business. Since 1987, AB CarVal's team has navigated through ever-changing credit market cycles, opportunistically investing $149 billion in 5,765 transactions across 82 countries. Today, AB CarVal has approximately $16 billion in assets under management in corporate securities, loan portfolios, structured credit and hard assets. Since 2017, AB CarVal has deployed over $5.5 billion in clean energy investments.

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR's insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR's investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR's website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group's website at www.globalatlantic.com.

Media Contacts

Peregrine Energy Solutions
Blake Taylor
713-383-7076
btaylor@peregrineenergysolutions.com

AB CarVal
Ann Folkman Ann.Folkman@abcarval.com

KKR
Julia Kosygina 212-750-8300
media@kkr.com

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SOURCE Peregrine Energy Solutions LLC

FAQ

What is the value of the credit facility Peregrine secured from KKR?

Peregrine secured a credit facility from KKR that can provide financing for up to $250 million in assets.

How many GWh of storage has Peregrine developed in its pipeline?

Peregrine has developed a pipeline of 22 GWh of storage across five independent system operators (ISOs) and 11 states.

When was Peregrine Energy Solutions founded?

Peregrine Energy Solutions was founded in April 2022.

How much funding did Peregrine raise from AB CarVal in August 2023?

In August 2023, Peregrine announced an agreement with AB CarVal to raise over $700 million in credit, equity, and debt to support its projects.