US Solar Fund has raised $132m (€110m) from new and existing investors, exceeding its original $105m fundraising target.

The London-listed solar infrastructure fund focused on the Americas said taking into account the company’s proposed use of proceeds, it decided to increase the target size from $105m target to $132m.

The latest fundraise is US Solar Fund’s first capital raise following its initial public offering two years ago which raised $200m.

The company said the capital raised will be used for refinancing, debt repayment, working capital purposes and investments opportunities.

Gill Nott, chair of US Solar Fund said: “We will put these funds to work immediately, reducing our Heelstone portfolio financing costs along with the fund’s total gearing, and deploying into our pipeline of attractive investment opportunities. Among other benefits, these transactions will increase dividend cover and be accretive to NAV.

“With President Biden recently announcing yet more ambitious carbon reduction targets, and extending Federal subsidy support, we believe the opportunity and need to invest in utility-scale solar remain compelling and urgent.”

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