Summit Ridge Energy secures $305 million for solar projects

ARLINGTON, Va. - Summit Ridge Energy has closed a $305 million senior secured credit facility with Bank of America (a prominent player in the banking industry with a market capitalization of $366 billion) to finance a portfolio of community solar projects across Illinois and Maryland, according to a press release statement issued Tuesday. According to InvestingPro data, Bank of America’s strong market position is reflected in its impressive 28% total return over the past year.

The financing package includes a $281 million term loan and a $24 million letter of credit facility to support 158 megawatts of solar capacity. Bank of America served as Structuring Agent, Syndication Agent, Coordinating Lead Arranger, Administrative Agent, Hedge Provider, and LC Fronting Bank for the transaction, which was described as oversubscribed. The bank’s ability to lead such significant deals is supported by its robust financial health, with InvestingPro analysis showing consistent dividend growth and strong market performance.

ING Capital participated as Green Loan Structuring Agent and Coordinating Lead Arranger, while KeyBanc Capital Markets acted as Coordinating Lead Arranger.

The solar projects are expected to provide energy savings to approximately 5,000 households and businesses across the two states. The company stated the development will generate local tax revenue and create 3,000 jobs in construction, engineering, and operations.

"Expanding our partnership with Bank of America enables us to grow our footprint in Illinois and Maryland, providing cost savings for thousands of customers while advancing America’s energy independence with U.S.-made components and local labor," said Adam Kuehne, Chief Investment Officer at Summit Ridge Energy.

The financing was raised alongside HASI, a sustainable infrastructure investor. This portfolio adds to Summit Ridge’s existing operations, which the company reports now include more than 2 gigawatts of projects either operating or in development nationwide.

Summit Ridge Energy, founded in 2017, has raised over $5 billion in project capital for more than 200 solar facilities to date, according to the company’s statement. Bank of America, which currently trades near its 52-week high, has maintained dividend payments for 55 consecutive years and recently increased its dividend by 17%, as revealed by InvestingPro analysis. Discover more insights about Bank of America and access comprehensive financial metrics through InvestingPro’s detailed research reports, available for over 1,400 US stocks.

In other recent news, Freedom Broker has increased its price target for Bank of America to $56.50, up from $47.00, while maintaining a Buy rating on the stock. This adjustment is attributed to sector tailwinds and the bank’s projected forward earnings per share of $4.50 for the period from the third quarter of 2026 through the second quarter of 2027. Meanwhile, the New York Attorney General has filed a lawsuit against Early Warning Services, LLC, the operator of Zelle, alleging the platform’s failure to protect users from over $1 billion in fraud losses. Bank of America, a part-owner of EWS, is indirectly involved in the lawsuit. Additionally, Bank of America analysts see potential for further appreciation in the British pound and Australian dollar, noting cautious positioning in these currencies. The bank has also revised its outlook for the Japanese yen, citing recent U.S. employment data and political developments in Japan. In a separate development, the White House is preparing an executive order targeting banks for alleged political discrimination, which could impact major financial institutions, including Bank of America. This order aims to investigate and potentially penalize banks for dropping customers based on political affiliations.

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