Macquarie backs California-based power firm

Macquarie Infrastructure Corporation’s investment in Intersect Power will help fund solar and power storage projects.

Macquarie Infrastructure Corporation has invested in California-based Intersect Power, backing the company’s solar and power storage development in the US.

The firms would not comment on the size of the investment, which includes equity, contingent equity commitments and credit facilities. The investment will fully finance Intersect Power’s operations.

The backing comes as Intersect Power, founded in 2016, looks to expand beyond California and Texas, where it now holds around 700MW of early-stage projects in development. It will finance solar projects – all with an energy storage component – in the development stage, as well as partially developed projects acquired from other firms.

“In the next decade, there is no surer bet than the reinvention of the energy sector and the rebuilding of our infrastructure with cleaner technologies based on renewables, electricity storage, and natural gas,” said Sheldon Kimber, managing partner at Intersect Power. “MIC’s investment in our team and project pipeline is solidly aligned with our goal to develop projects that leverage this inevitable change in energy markets.”

MIC, a NYSE-listed infrastructure firm managed by a wholly owned subsidiary of Sydney-based Macquarie Group, holds more than 350MW of solar and wind assets. MIC acquired the Utah Red Hills solar facility, its eighth solar project, last October.

“The partnership with [Intersect Power] further expands MIC’s focus on renewable energy across the US,” said MIC chief executive James Hooke.

Intersect Power’s energy pipeline is expected to come online between 2019 and 2021.