Sustainability Trends

American Electric Power (AEP) announced the pricing of a registered underwritten offering of 19,607,844 shares of its common stock at $102 per share on March 24, 2025. The shares are expected to be borrowed by forward counterparties or their affiliates from third parties and sold to the underwriters in connection with forward sale agreements. AEP has the option to choose cash settlement or net share settlement for all or part of its rights or obligations under these agreements. If AEP opts for physical settlement, the net proceeds will be used for general corporate purposes, such as capital contributions to its utility subsidiaries, acquisitions, or debt repayment. KeyBanc Capital Markets acted as a co-manager for this offering.

About American Electric Power
American Electric Power is committed to improving customers’ lives with reliable, affordable power. They are investing $54 billion from 2025 through 2029 to enhance service for customers and support the growing energy needs of our communities. Their nearly 16,000 employees operate and maintain the nation’s largest electric transmission system with 40,000 line miles, along with more than 225,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP is one of the nation's largest electricity producers with approximately 29,000 megawatts of diverse generating capacity.

On March 4th, 2025, KeyBanc Capital Markets Inc. (KBCM) successfully closed on $1.7 billion of Senior Secured Credit Facilities (the Facilities) supporting Copia Power’s utility-scale solar plus energy storage project (Maricopa or the Project). The Facilities comprise a $1,416 million construction-to-term loan, a $90 million tax-credit bridge loan, and $204 million in letters of credit. Proceeds will be used to fund the Project’s construction costs. KBCM acted as Coordinating Lead Arranger, Joint Bookrunner, and Syndication Agent.

Maricopa is a 691 MWdc solar + 2,200 MWh energy storage project located in Maricopa County, Arizona, interconnecting to the Arizona Public Service owned Delaney Substation. The Project is being developed with tier-1 equipment and will be constructed in two phases beginning in Q1 2025. Maricopa is expected to reach full commercial operations in Q1 2027.

This represents the fourth transaction between Copia Power and KBCM.

Copia Power Overview
Copia Power is a renewable energy infrastructure platform launched by The Carlyle Group (NASDAQ: CG) in March 2021. Created with the acquisition of Tenaska’s 6 GW solar and energy storage pipeline, Copia’s goal is to become a leading, integrated energy transition platform specializing in developing, owning, and operating giga-scale projects in select U.S. markets. The company is led by industry veterans with extensive shared experience in developing, commercializing, constructing, and operating more than 10 GW of renewable energy projects.

Since its launch, Copia Power has built a robust 20+ GW development pipeline across the U.S. with an additional 1.5 GW of projects beginning construction in the last 12 months. KBCM advised Copia Power (f.k.a. Birch) on its platform investment from The Carlyle Group in March 2021.

Florida Power & Light Company (FPL) is a rate-regulated electric utility involved in the generation, transmission, distribution and sale of electric energy in Florida. FPL is the largest electric utility in the state of Florida and one of the largest electric utilities in the U.S. As of December 31, 2023, FPL had 32,276 megawatts of net generating capacity, approximately 90,000 circuit miles of transmission and distribution lines and 883 substations.

FPL priced $2.0 billion of First Mortgage Bonds in three tranches:

• A $350 add-on of FPL’s 5.300% First Mortgage Bonds due 2034 at a spread of T+73 bps and a price of 100.109%
• $950 million of First Mortgage Bonds due 2055 at a spread of T+93 bps for a coupon of 5.700%
• $700 million of First Mortgage Bonds due 2065 at a spread of T+103 bps for a coupon of 5.800%

The deal was extremely well received by the market, with a total orderbook size of $11.9 billon, resulting in a 6.0x overall oversubscription. The 2064 tranche alone attracted over $5.5 billion in interest, representing an 8.0x oversubscription. Each tranche also priced with minimal or no new issue concessions.

FPL plans to use net proceeds from the offering for general corporate purposes, including repaying a portion of its outstanding commercial paper obligations and prefunding the refinancing of a portion of its bonds maturing in 2025.

KeyBanc Capital Markets acted as Active Joint Bookrunner on the transaction.

KeyBanc Capital Markets served as exclusive sell-side advisor to Renewable Properties on the sale of its 11 megawatt direct current (MW_DC) solar community solar portfolio to Nautilus Solar. The portfolio was composed of two late-stage community solar assets in Illinois. The transaction closed in January 2025.

Nautilus Solar Energy Overview
Nautilus Solar Energy is one of the largest providers of community solar in the U.S., providing cleaner energy to residential and commercial customers in local communities. Nautilus operates and manages more than 150 solar farms in 12 states and is responsible for financing, development, maintenance, and customer service for the lifetime of the project. Founded in 2006, Nautilus has helped shape the future of solar to provide an equitable and affordable renewable energy choice for all. Nautilus is owned by Power Sustainable, a wholly owned subsidiary of Power Corporation of Canada. Power Sustainable is a multi-platform alternative asset manager with a long-term investment approach focused on sustainable strategies.

Renewable Properties Overview
Founded in 2017, Renewable Properties specializes in developing and investing in small-scale utility, community solar, energy storage, and electric vehicle (EV) infrastructure projects throughout the U.S. Led by experienced renewable energy professionals with development and investment experience, Renewable Properties is active in 16 states and has more than 1.2 gigawatts (GW) of solar and energy storage under development with over 250 MW under construction or in operation. Renewable Properties works closely with communities, developers, landowners, utilities, and financial institutions looking to invest in solar energy systems.

On January 21, 2025, Torch Clean Energy (Torch or the Company), a premier U.S.-based utility-scale solar and storage developer, announced a strategic investment from Morgan Stanley Infrastructure Partners (MSIP). This partnership with MSIP marks a pivotal transformation for Torch, enabling it to transition from a development platform to an integrated clean power platform with capabilities across development, construction, and asset management. MSIP’s investment in Torch provides committed capital to expand and transition the Torch platform. KeyBanc Capital Markets (KBCM) served on the transaction as Exclusive Financial Advisor to Torch Clean Energy.

KBCM ran a dual-track process for Torch — a broadly marketed sale of the Company’s development-complete solar and storage portfolio in parallel with a platform equity capital raise marketed to select investors. This approach allowed Torch to consider a transformational platform partnership alongside a non-dilutive asset sale. KBCM highlighted Torch’s differentiated strategy and above-market profitability, which resulted in the Company’s equity partnership with MSIP. 

About Torch Clean Energy
Torch Clean Energy is a clean energy and battery storage developer with extensive experience developing, permitting, designing, and building solar, wind, and battery energy storage projects. Torch has originated, developed, and sold 1.2+ gigawatts (GW) of renewable power projects. Based in Boulder, Colorado, Torch Clean Energy has operated as an independent, founder-owned developer since 2015. 

About Morgan Stanley Infrastructure Partners
Morgan Stanley Infrastructure Partners (MSIP) is a leading global private infrastructure investment platform with approximately $16 billion in assets under management. Founded in 2006, MSIP has invested in a diverse portfolio of more than 35 investments across transport, digital infrastructure, energy transition, and utilities. MSIP targets assets that provide essential public goods and services with the potential for value creation through active asset management.

KeyBanc Capital Markets, Inc. (KBCM) served as exclusive financial advisor to AMPYR Energy USA (AMPYR or the Company) on its development capital raise from Crayhill Capital Management LP (Crayhill). The transaction closed in December 2024. 

Transaction Overview
KBCM was engaged by AMPYR to raise a strategic development capital facility to fund its utility-scale solar and energy storage development pipeline. The facility will provide up to $200 million of capital. KBCM leveraged existing relationships with leading capital providers to conduct a targeted process that resulted in multiple attractive offers, maximizing competitive tension, which ultimately optimized the terms of the facility. KBCM supported AMPYR throughout the entire process, identifying prospective lenders, guiding the marketing strategy, and negotiating structure and terms through transaction close.

AMPYR Energy USA Overview
Founded in 2021, AMPYR specializes in the development, construction, operation, and optimization of utility-scale solar power generation and co-located storage projects across all major markets in the country. AMPYR is a joint venture between AGP Group (AGP) and Hartree Partners (Hartree). AGP has a decade-long track record in development, construction, and operation of renewable IPPs globally. Key partners of AGP delivered more than 3 gigawatts (GW) of renewable assets at a predecessor business and successfully exited the platform to Global Infrastructure Partners. Hartree, a New York-headquartered global merchant commodities company, is active in energy trading and the renewable energy sector with a portfolio of 20 million megawatt hours (MWh) under management.

Crayhill Capital Management LP Overview
Founded in 2015, Crayhill is an asset-based private credit manager based in New York City. Its asset-based investment strategies draw on deep sector expertise and relationships throughout the structured finance and specialty finance markets

On December 20, 2024, KeyBanc Capital Markets Inc. (KBCM) closed $605 million in Senior Secured Credit Facilities (the Facilities) for Clearway Energy Group’s (CEG) Honeycomb Battery Energy Storage Systems (BESS) project. Honeycomb includes four BESS projects in Iron and Beaver Counties, UT. The Facilities consist of $334 million in Construction Loans, $190 million in Tax Equity Bridge Loans, $64 million in PPA LCs, and $17 million in Debt Service Reserve LCs. The proceeds will be used to fund the construction and operating periods of the project. KBCM served as Coordinating Lead Arranger, Administrative Agent, Depositary Agent, and Collateral Agent. 

The Honeycomb Portfolio is a 320 MW battery energy storage system that will deliver cost-effective, reliable, and dispatchable energy for the PacifiCorp service area, supplementing existing solar facilities in the WECC power market. Each of the four 80-megawatt (MW) projects will use four-hour Tesla batteries and collectively store up to 1,280 MWh of dispatchable power.  It will generate revenue through a 20-year tolling agreement with PacifiCorp. 

This represents the nineteenth transaction between CEG and KBCM.

KeyBanc Capital Markets, Inc. (KBCM) served as the exclusive sell-side advisor on the sale of a portfolio of Maine community solar assets to Altus Power. The portfolio was developed through a joint venture between BNRG Renewables, Impax Asset Management, and Dirigo Solar. This transaction represents KBCM’s fifth Maine portfolio transaction and the second transaction representing the joint venture.

About Impax Asset Management
Founded in 1998, Impax is a specialist asset manager with approximately $42.7 billion as of December 31, 2024, in listed and private markets strategies, investing in the opportunities arising from the transition to a more sustainable global economy. The Company has approximately 300 employees in the United Kingdom, the United States, Ireland, Denmark, Hong Kong, and Japan, making it one of the investment management sector’s largest investment teams dedicated to sustainable development.

About BNRG Renewables:
Since 2007, BNRG has been at the forefront of the renewable energy industry. The company specializes in developing, constructing, and operating grid-scale solar photovoltaic (PV) and battery storage projects. From the company’s headquarters in Dublin, Ireland, and offices in the U.S. and Australia, BNRG’s diverse team is dedicated to advancing clean energy solutions. BNRG currently operates in five Organization for Economic Cooperation and Development (OECD) countries and continues to expand its global presence.

About BNRG Maine (d/b/a BNRG Dirigo)
BNRG Maine, doing business as BNRG Dirigo, is a joint venture led by BNRG and Dirigo. As a Maine-based developer of community and utility-scale solar power plants, BNRG Dirigo leverages technology cost reductions to lower the cost of power for Maine homeowners and businesses, with locally generated clean energy that helps revitalize rural communities. Since 2015, BNRG Dirigo has developed a portfolio of more than 350 megawatts (MW) of distributed and utility-scale solar PV in Maine, with nearly 100 MW in operation.

About Altus Power
Altus Power, based in Stamford, Connecticut, is the largest commercial-scale provider of clean electric power serving commercial, industrial, public sector, and community solar customers with end-to-end solutions. Altus Power originates, develops, owns, and operates locally sited solar generation, energy storage, and charging infrastructure across the nation.