RGS Energy, a provider of turnkey solar energy solutions for residential, commercial and utility customers, and Altus Power America Management, an investor in and manager of solar power projects, have formed a new joint venture, RGS Energy Asset Management LLC.
The purpose of the JV is to develop, finance and manage up to US$150 million of commercial solar projects. The joint venture will leverage both organizations' expertise in developing, building and owning energy assets. The partners will jointly manage the available pool of capital, so funds can be more quickly and efficiently deployed to propel growth.
The JV will allow RGS Energy to integrate credit qualification and capital sourcing into its core operations, furhtermore, it will allow Altus Power America Management to identify attractive solar power projects across the country and efficiently deploy capital throughout the US solar market.
Lars Norell, Altus Power America Management managing partner, stated:
We anticipate that this initial deployment of $150m of capital will be the first of many as we partner with RGS Energy, a leading solar company in the country, to create and enhance value for both organizations.
Kam Mofid, RGS Energy's CEO, stated:
This joint venture is an excellent example of how we are broadening the reach and scope of our business activities to accelerate growth, enhance margins, and to better serve our customers. It also provides us the future flexibility to deploy our own capital through the joint venture, at the amount of our choosing, as we extend into the energy asset ownership domain.
The joint venture will offer power purchase agreements and other financial solutions to customers. The parties expect the first fully financed projects to be operational as early as the second quarter of this year.