Budderfly, a sustainability partner for commercial businesses with repeatable footprints, has secured $400 million to help fund its next stage of growth and to help accelerate clean energy technology adoption across the mid-market. The senior debt facility originated by Vantage Infrastructure with the financing co-led by Vantage and the Energy Infrastructure Credit team at Nuveen, according to a company press release.
« Budderfly’s innovative business model is a unique, customer-centric offering that offers an integrated solution combining technical know-how, proven and tested equipment and financial resources into energy solutions for mid-market players, » Nick Cleary, senior partner at Vantage, said in the press release. « At its core, Budderfly serves as a channel for our clients to support energy transition across North America with an established and highly diversified portfolio of infrastructure assets, which we expect to grow significantly. »
Under the terms of the transaction, Vantage and Nuveen have committed $200 million to Budderfly at close, along with an option that provides Budderfly access to an additional $200 million in financing. The capital will support Budderfly’s continued ability to identify and deploy energy-saving technologies, including high-performance HVACs, solar panels, smart thermostats for the growing number of small- and medium-sized commercial buildings across the United States in need of cost-effective decarbonization solutions.
« We are thrilled to provide financing to support a business that provides a much needed low carbon solution for Budderfly’s resilient and diversified customer base, » Don Dimitrievich, portfolio manager of Nuveen’s Energy Infrastructure Credit business, said in the release. « One of our key underwriting fundamentals includes backing experienced management teams, which we’ve found here with Budderfly. »
« This debt facility from Vantage and Nuveen is a critical milestone in Budderfly’s transition into a multi-billion dollar next-generation infrastructure platform, » said Todd Bright, partner at Partners Group, a global private markets firm and majority owner of Budderfly. « As the demand for energy efficiency accelerates as we race to meet climate goals, Budderfly is equipped with the capital needed to meet that demand for a crucial segment of the commercial market that without Budderfly would be left behind on the path to profitability in a net-zero economy. »
Budderfly’s EaaS offering is an end-to-end, outsourced solution that unlocks a path to sustainability for mid-market businesses, according to the release. It upgrades and installs energy-efficient equipment, including HVAC systems, air quality management, LED lighting, refrigeration, smart panels, sensors and controls and solar.
