7X Energy has hired a boutique investment bank to put its next Texas solar project on the market.
The 250 MW Taygete solar project in Pecos County is set to be the third to be sold by the developer, after its Phoebe and Lapetus projects.
CohnReznick Capital is running a two-stage sales process for the entire equity interest in Taygete with the aim of closing a transaction by May.
The developer intends either to sell the asset prior to full notice to proceed, as it did with Phoebe (PFR, 7/3/18), or assist a buyer with project financing and execute a simultaneous closing.
In the meantime, 7X has secured a $34.5 million letter of credit facility to fund deposits required for an interconnection agreement and a derivative contract.
The full output of the project is contracted with an investment grade utility under a 10-year power purchase agreement (PFR, 2/20).
The identity of the counterparty was described as a Fortune 500 company in a statement announcing the deal last week.
A spokesperson for 7X in Austin confirmed that the project was for sale but did not offer any additional information. Officials at CohnReznick in New York declined to comment.
7X aims to break ground on the project in the third quarter of 2019 and bring it online in phases from June 2020 through January 2021.