U.S. Bancorp and Zions Bank Sign Renewable-Energy Tax-Equity Syndication
July 31 2015 - 10:58AM
Business Wire
U.S. Bancorp (NYSE: USB) and Zions Bank (NYSE: ZION) announce a
renewable-energy tax-equity syndication agreement that will provide
financing for the Red Horse 2 wind and solar project near Tucson,
Arizona, owned by an affiliate of D. E. Shaw Renewable Investments
L.L.C.
U.S. Bancorp launched its new renewable-energy investment
syndication earlier this year, allowing first-time and experienced
investors to participate in the renewable-energy tax-equity market.
With this agreement, Zions Bank is co-investing with U.S. Bancorp
and benefitting from U.S. Bancorp’s underwriting, structuring, and
ongoing asset management.
The investment will help finance the installation of the
71-megawatt project about 65 miles east of Tucson. The more than
$200 million project is expected to generate enough electricity to
power 13,500 homes in the service territory of Tucson Electric
Power Co. The utility has a 20-year contract to purchase power from
the project, which will reduce carbon dioxide emissions by nearly 5
million metric tons over 30 years, or the equivalent of removing
more than 1 million cars from the road.
“Given our focus on sustainable energy production and Zions
Bank’s interest in ensuring clean electricity sources for its
customers in Arizona, this partnership was a success on all
fronts,” said Chris Roetheli, vice president of U.S. Bancorp
Community Development Corporation, the subsidiary of U.S. Bancorp
that is managing the transaction. “We welcome the opportunity to
work with other companies that want to invest in renewable-energy
tax equity.”
The syndication agreement demonstrates Zions’ continued support
for sustainable energy financing.
“Zions is committed to helping consumers and businesses realize
the economic benefits of sustainable energy by becoming solar and
wind energy users,” said Craig Robb, managing director of Zions
Energy Link. “This investment demonstrates our commitment to
increasing the capacity of renewable energy companies to provide
more of these systems.”
U.S. Bancorp anticipates that Red Horse 2 will produce more than
800 construction and installation jobs. The bank also expects that
the project will generate more than $110 million in economic impact
from salaries, equipment purchases, construction materials and
secondary spending by workers on local services and on solar
industry vendor supplies and services. Each year after
construction, the project is anticipated to produce $1.6 million in
economic impact.
Since U.S. Bancorp launched its renewable syndications product
in the last year, it has helped finance more than $450 million in
renewable energy projects across the nation, demonstrating the
bank’s commitment to sustainability.
About Zions BancorporationZions Bancorporation (NASDAQ:
ZION) is one of the nation’s premier financial services companies,
consisting of a collection of great banks in select Western
markets. Zions operates its banking businesses under local
management teams and community identities in 11 Western and
Southwestern states: Arizona, California, Colorado, Idaho, Nevada,
New Mexico, Oregon, Texas, Utah, Washington, and Wyoming. The
Company is a national leader in Small Business Administration
lending and public finance advisory services, and received 24
“Excellence” awards by Greenwich Associates for the 2014 survey. In
addition, Zions is included in the S&P 500 and NASDAQ Financial
100 indices. More information is available at zionsbancorp.com.
About U.S. Bancorp Community Development CorporationWith
nearly $15.8 billion in managed assets as of June 30, 2015, U.S.
Bancorp Community Development Corporation, a subsidiary of U.S.
Bank, provides innovative financing solutions for community
development projects across the country using state and federally
sponsored tax credit programs. USBCDC's commitments provide capital
investment to areas that need it the most and have contributed to
the creation of new jobs, the rehabilitation of historic buildings,
the construction of needed affordable and market-rate homes, the
development of renewable energy facilities, and the generation of
commercial economic activity in underserved communities. Visit
USBCDC on the web at www.usbank.com/cdc.
About U.S. BankMinneapolis-based U.S. Bancorp (NYSE:
USB), with $419 billion in assets as of June 30, 2015, is the
parent company of U.S. Bank National Association, the fifth largest
commercial bank in the United States. The company operates 3,176
banking offices in 25 states and 5,022 ATMs and provides a
comprehensive line of banking, brokerage, insurance, investment,
mortgage, trust and payment services products to consumers,
businesses and institutions. Visit U.S. Bancorp on the web at
www.usbank.com.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20150731005536/en/
U.S. Bank Corporate CommunicationsShera Dalin,
314-335-3335shera.dalin@usbank.com@usbank_news
Zions Bancorporation NA (NASDAQ:ZION)
Historical Stock Chart
From Mar 2024 to Apr 2024
Zions Bancorporation NA (NASDAQ:ZION)
Historical Stock Chart
From Apr 2023 to Apr 2024