May 26 (Renewables Now) - Solar and energy storage developer and EPC provider Borrego intends to spin off and sell its development business together with its 8.4-GW portfolio of photovoltaic (PV) and 6.4 GW/25 GWh of energy storage projects.
The San Diego, California-based company said on Wednesday it has sealed a definitive agreement to offload the business to energy transition-focused investor ECP. Financial details about the proposed deal were not disclosed.
Following the divestment, the development activities will be run as an independent subsidiary of ECP. The company will be based in Lowell, Massachusetts and will be led by its existing team. Dan Berwick, currently president of the development business, will be at the helm of the new firm.
"We're excited to join forces with Borrego's development business to create ECP's eleventh renewable platform and fourth standalone solar platform," said Andrew Gilbert, partner at ECP.
Borrego was advised by JP Morgan Securities LLC in the transaction. After offloading the development business, the company will focus on its engineering, procurement and construction (EPC) and operations and maintenance (O&M) activities.
At present, Borrego has more than 450 MW of solar and 200 MW of energy storage projects in the design and construction phases. The company is also managing 1.4 GW of solar assets for clients.