Captona Closes Partnership with Scale Microgrids, Terminating Preferred Stock Investment in Portfolio of Microgrids and Community Solar Projects

NEW YORK, June 17, 2024 /PRNewswire/ — Today, Captona and Scale Microgrids announce the closing and financing of a portfolio of community solar and microgrid assets in New York AND California. This transaction demonstrates Captona’s continued ability to deliver on a broad range of energy transition investments.

This latest investment further develops Captona’s preferred capital strategy and enables Scale, its partner, to optimize the value of its investment tax credits. Each party’s deep knowledge of renewable energy financing, as well as Scale’s expertise in servicing these projects, will enhance the value of Capton’s strategic investment.

“Captona is excited to have completed another investment as part of our rapidly growing preferred equity strategy,” he said Izzet Bensusan, CEO and founder of Captona. “This portfolio of microgrids and community solar projects provides reliable, sustainable energy solutions that increase energy independence and grid resilience. As a company investing in the energy transition, we believe these asset classes are a perfect fit for our existing portfolio of RNG, fuel cells, storage and solar.”

“The Captona partnership helps Scale unlock the value of this portfolio,” he said Julian TorresChief Investment Officer at Scale Microgrids, “Scale is proud to deliver cheaper, cleaner and more resilient energy to our customers and community stakeholders. By closing this transaction, we were able to take full advantage of new opportunities to monetize Section 6418 investment tax credits.”

All projects that leveraged Scale’s vertically integrated platform to move from development through construction and financing have been delivered. Scale will also continue to own, operate and maintain the projects. These include a microgrid that will power a first-of-its-kind off-grid cold storage facility, another microgrid that will provide energy savings and resilience to the city’s water supply in Californiaand community solar projects that will deliver savings New York utility customers. Captona’s involvement underscores its commitment to supporting innovative energy solutions and expanding its diverse portfolio of renewable energy assets.

Kirkland and Ellis were advisors to Captona and Allen Overy Shearman was an advisor to Scale Microgrids.

About Capton: Captona is the leader North America-focused investment company focused on energy transformation and decarbonization. Focusing on solar, storage, fuel cell and RNG assets, Captona is pioneering innovative investment strategies that combine financial returns with positive environmental impact. Headquarters in New Yorkmanages Capton $2 billion in terms of enterprise value, being the owner and operator of over 30 projects North America. Captona’s diverse portfolio of energy transition assets and strategic partnerships enable businesses and communities to benefit from clean energy, leading us towards a sustainable future.

About scaled microgrids: Scale is a vertically integrated energy company that designs, builds, finances, owns and operates distributed energy assets that deliver cheaper, cleaner and more resilient energy. Our team is accelerating the development of distributed energy by providing financing to project developers while directly helping large energy customers take control of their energy supply with microgrids integrating solar, batteries and other local energy resources.

SOURCE Capton