US-based solar power producer MN8 has closed a $325m private placement to fuel its expansion plans.

The investment comprises a $200m investment from Mercuria Energy Group and $125m from Ridgewood Infrastructure.

Mercuria Energy Group will gain a seat and an observer seat on MN8’s board of directors. Ridgewood will gain an observer seat.

MN8 Energy has entered a strategic collaboration with Mercuria to explore commercial opportunities for future sustainable, affordable and reliable energy systems.

The investment will facilitate the ongoing growth of MN8's portfolio across solar, storage and electric vehicle (EV)-charging projects.

MN8 Energy president and CEO Jon Yoder stated: “The closing of our private placement of convertible preferred equity securities is a strategic move aimed at securing capital for tangible and measurable growth.

“Our agreements with Mercuria and Ridgewood provide us with the financial means and capital to scale our growth, engineer innovative solutions for our clients and deliver enhanced value to our shareholders.”

Established in 2017, the company was previously known as Goldman Sachs Renewable Power.

MN8 Energy was spun off from Goldman Sachs Asset Management to become an independent entity in 2022.

The company has since amassed a solar fleet exceeding 3.2GW and spanning 875 projects across 28 US states.

It has 270MW of battery storage projects and offers EV charging solutions.

Ridgewood Infrastructure managing partner Michael Albrecht stated: “Ridgewood Infrastructure is committed to investing in companies that lead the way in sustainability-focused infrastructure.

“Our investment in MN8 reflects our dedication to supporting renewable energy initiatives that not only benefit the environment but also offer long-term, sustainable solutions for communities.”