Terawatt Infrastructure Inc. announced that it has secured a credit facility that can total as much as $300 million to support the purchase and development of electric vehicle charging sites in the United States and internationally.
RBC Capital Markets structured a five-year senior secured credit facility with capacity for up to $150 million and an option to expand that amount by another $150 million. Sumitomo Mitsui Banking Corp. and UBS Group AG joined the lending syndicate on the transaction.
Based in San Francisco, Terawatt owns and operates urban charging locations and retains control of the related real estate, power infrastructure, the chargers themselves and power management software that runs those sites. The company has previously raised more than $1 billion from investors.
According to co-founder and Chief Executive Officer Neha Palmer, the bulk of the company’s revenue is generated by leasing charging sites to private ride-hail fleets. Palmer did not disclose the company’s current valuation or its profitability figures.
Terawatt counts Waymo among its customers. The company reports having more than 50 properties and over 200 megawatts of power capacity that are in various stages of development across more than a dozen states.
The credit facility is described as senior and secured and carries a five-year term for the initial tranche. The availability of the additional $150 million depends on the option to increase the facility, which the lenders and the company can exercise under the agreed terms.
This financing is intended to fund both acquisition of new sites and the development work needed to bring charging locations online, covering components from real estate to electrical and charging infrastructure and software controls.
Clear summary
Terawatt has put in place a five-year senior secured facility arranged by RBC with participation from Sumitomo Mitsui and UBS that can reach $300 million through an initial $150 million tranche and an option to add another $150 million. The funds will be used to purchase and develop EV charging sites in the U.S. and internationally. The company operates urban charging sites, has previously raised over $1 billion, leases sites primarily to private ride-hail fleets, and reports more than 50 properties and 200+ megawatts of capacity across more than a dozen states.