Form Energy has closed a $270 million credit facility to support the scaling of its manufacturing operations, the company said Monday.
The facility comprises a revolving credit line and a tax credit advance facility backed by taxes generated under Section 45X of the Advanced Manufacturing Production Credit, which provides incentives for domestic production of certain clean-energy components. An accordion feature gives the company access to up to $1 billion in total credit capacity.
Proceeds will be used to fund working capital and support continued manufacturing scale-up of the firm's iron-air battery systems — multi-day energy storage units that use iron as the primary electrochemical material — at Form Factory 1 in Weirton, West Virginia.
Barclays served as sole structuring bank and initial coordinating lead arranger. The lending syndicate includes Citigroup, Jefferies, JPMorgan Chase, RBC Capital Markets, Societe Generale, Stifel and Wells Fargo. TPG Capital BD acted as Form Energy's debt advisor, and Kirkland & Ellis provided financing legal counsel.
The credit facility follows a $750 million Series G equity round that closed in August and brought the company's total equity raised to more than $2 billion.
