Sunnova carries around US$7.5bil of long-term debt, including nearly US$1bil of notes coming due in 2026, company filings show. — Bloomberg
NEW YORK: Sunnova Energy International Inc is getting advice from Moelis & Co as the solar power company wrestles with upcoming debt maturities, according to people with knowledge of the arrangement, who asked not to be identified discussing a private matter.
Sunnova carries around US$7.5bil of long-term debt, including nearly US$1bil of notes coming due in 2026, company filings show. Its obligations are spread across multiple units and include unsecured bonds, solar asset-backed notes and revolving credit facilities.
Representatives with the company and Moelis declined to comment.
Sunnova shares sank to a record, falling as much as 20%, after Bloomberg reported that Moelis is advising the company. Its 5.875% notes due 2026 fell as much as 8.75 US cents on the dollar to 53 US cents, according to pricing source Trace.
Sunnova announced the departure of chief financial officer Robert Lane in a regulatory filing after markets closed on Wednesday.
The company also said it was taking a number of steps to generate more proceeds from asset-backed financings, including increasing the number of securitisations issued this year, according to an investor slide presentation issued as part of its release of quarterly results.
Sunnova reported first-quarter revenue of US$160.9mil that came in below analysts’ estimates.
The rooftop solar industry is struggling as high interest rates make it more expensive for people to install panels. California, the biggest solar market, cut payments to homes and businesses that sell excess solar power back to the grid, a move that left the industry reeling.
Residential solar installations are projected to decline in the United States by 13% this year, said a report by Solar Energy Industries Association. — Bloomberg
