Blackstone to Invest as Much as $500m in Solar Firm Array

Aug 19, 2021 | News

Blackstone Group will invest as much as $500m in the solar equipment manufacturer Array Technologies.

Funds managed by Blackstone Energy Partners will buy $350m in preferred stock from the Albuquerque, New Mexico-based solar company and retain the option to purchase an additional $150m before July 2023, the companies said in a statement. Bilal Khan, a senior managing director at Blackstone, will join Array’s board as part of the deal. 

Blackstone, the world’s largest alternative-asset manager, has made several bets on companies focused on supporting a transition to cleaner energy. The firm has also recently invested in energy-infrastructure company Sabre Industries, and solar company Altus Power America.

 

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Array, a provider of solar-tracking systems for ground-mounted solar farms, went public last year amid a surge in interest for renewable-energy investments. But the stock has tumbled in recent months amid rising steel and freight costs.

“Array has set itself apart from others,” said Blackstone’s Khan in an interview. “In a very turbulent time in supply chains, Array has been able to consistently deliver their product to customers.”
Array plans to use proceeds from the deal to repay debt and fund growth initiatives.

Source: Bloomberg

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