US Solar Fund to sell stake in 200-MW solar farm in California

US Solar Fund Plc (LON:USF) on Monday said that US-based renewable energy producer MN8 Energy LLC has exercised its right to buy the London-listed renewable energy fund’s 50% stake in a 200-MW solar plant in California.

MN8 Energy, formerly known as Goldman Sachs Renewable Power LLC, is exercising a purchase option for the shareholding in DC Mount Signal 2 (MS2) that it acquired in August 2022.

The stake will be purchased for USD 52.2 million (EUR 48.2m), excluding working capital, plus a non-refundable option fee of USD 1 million, a bourse filing said.

A binding agreement on the transaction is expected to be inked in the first quarter of 2023. Completion of the deal, which will see MN8 become the sole owner of the MS2 asset, is set for the next quarter.

MS2 is located in the Imperial Valley of southern California. US Solar Fund itself agreed to buy up to 50% of MS2 from New Energy Solar in December 2020.

The London-listed renewable energy fund further in the Monday statement highlighted that the deal with MN8 will have no effect on the company’s strategic review and formal sale process launched in October.

(USD 1 = EUR 0.924)

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