Solar energy and energy storage producer MN8 Energy announced today that it has raised $325 million through a private placement of convertible preferred stock, with proceeds from the financing to be used to fund the company’s growth and expansion of operations.
Launched in 2017 as Goldman Sachs Renewable Power LLC, New York-based MN8 was rebranded and separated into an independent company in 2022. The company provides renewable energy and related services to enterprise customers to help them achieve their electrification and decarbonization goals, with a 3.2 GW fleet of 875 solar projects across 28 U.S. states, more than 270 megawatts of battery storage projects, and EV charging solutions.
The private placement included a $200 million investment by energy and commodity group Mercuria Energy, and $125 million by U.S. infrastructure investor Ridgewood Infrastructure.
Jon Yoder, President and CEO of MN8 Energy, said:
“The closing of our private placement of convertible preferred equity securities is a strategic move aimed at securing capital for tangible and measurable growth. Our agreements with Mercuria and Ridgewood provide us with the financial means and capital to scale our growth, engineer innovative solutions for our clients and deliver enhanced value to our shareholders.”
As part of the transaction, Mercuria will obtain a seat, as well as an observer seat, on the board of MN8, and Ridgewood will also receive an observer seat. MN8 and Mercuria also announced the formation of a new strategic collaboration, drawing on MN8’s renewable energy capabilities and Mercuria’s expertise in energy markets, focused on identifying commercial opportunities aimed at advancing more sustainable, affordable, and reliable energy systems.
Brian A. Falik, Mercuria’s Chief Investment Officer, said:
“We are thrilled to support the MN8 team with this strategic investment that will enable MN8 to continue delivering on its growth plans. This transaction is consistent with Mercuria’s strategy of investing in best-in-class management teams who can leverage our energy market capabilities.”