Dominion Energy on Friday said that it had closed its inaugural offering of green bonds. The $362 million in privately placed bond proceeds will be used to reimburse Dominion Energy for previously deployed capital related to the acquisition, development and/or construction of 20 merchant solar projects with a total capacity of 574 MW of renewable energy.
The projects – located in California, North Carolina, South Carolina and Virginia – are supported by long-term power purchase agreements (PPAs) with high-quality, investment-grade utility, municipal and corporate counterparties.
James R. Chapman, senior vice president, chief financial officer and treasurer at Dominion Energy said that the offering “signals alignment of our clean energy strategy with the fixed income investment community’s growing interest in sustainability and corporate responsibility.”
Dominion Energy ranks fourth in the U.S. among utility holding companies for owned solar capacity with about 1,250 MW in operation in nine states, according to the company.
Barclays served as the private placement agent for this bond offering and McGuireWoods LLP served as issuer’s counsel.