Spruce Power signs backup servicing agreement with Sunvida

DENVER - Spruce Power Holding Corporation (NYSE:SPRU), a renewable energy company currently trading below its InvestingPro Fair Value with a market capitalization of $32.28 million, has entered into a multi-year backup servicing agreement with Puerto Rico-based solar financing platform Sunvida, the company announced in a press release.

The agreement will initially include data storage, validity checks and reporting services, with potential for expansion over time. The partnership supports Sunvida’s efforts to ensure business continuity and quality assurance for its residential solar customers.

"Many financial organizations supporting residential solar development are taking action to require backup servicing," said Chris Hayes, Chief Executive Officer of Spruce. "This agreement enables Spruce to establish relationships with great new partners like Sunvida that maintain operations both in Puerto Rico and the continental United States."

Frank Lopez, President & CEO at Sunvida, stated that the company selected Spruce as a backup service provider due to its experience and capabilities, as part of Sunvida’s commitment to ensuring resilience for its platform.

The press release noted that Puerto Rico ranks among the leading U.S. states and territories for residential solar energy adoption on a per capita basis.

Spruce Power owns cash flows from approximately 85,000 home solar assets and contracts across the United States. Its Spruce PRO service offers financial and asset management operations, customer service support, and environmental commodities trading for third-party owners of distributed generation assets. According to InvestingPro data, the company has achieved notable revenue growth of 23.43% over the last twelve months, though it faces challenges with cash burn and significant debt obligations.

Sunvida provides solar financing options in Puerto Rico, where consumers face high costs of power from traditional sources and grid availability challenges. For investors seeking deeper insights into Spruce Power’s financial health and growth prospects, InvestingPro offers comprehensive analysis through its Pro Research Report, one of 1,400+ detailed company assessments available to subscribers.

In other recent news, Spruce Power Holding Corporation reported its second-quarter 2025 earnings, indicating significant revenue growth despite a net loss. The company emphasized its strategic initiatives and operational efficiencies during the earnings call. In a move to improve profitability, Spruce Power announced workforce reductions and the closure of its Denver headquarters, expecting to save $20 million annually. The reorganization will incur about $1 million in one-time severance and reorganization costs in the third quarter. Additionally, Spruce Power has partnered with EnerWealth Solutions to launch North Carolina’s first residential solar plus storage lease program. This initiative aims to provide homeowners with solar energy access without upfront costs or credit checks. The lease model includes a production guarantee and on-site battery storage for reliability. These developments reflect the company’s ongoing efforts to enhance its financial performance and expand its market presence.

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