Sunrun Secures $584 Million in Securitization of Residential Solar and Storage Assets, Marking Significant Milestone

Sunrun, a leading provider of home solar, battery storage, and energy services, has announced the successful pricing of a $584 million securitization of residential solar and storage assets. This significant transaction marks the company's 16th securitization since 2015 and its first issuance in 2026, showcasing Sunrun's ability to access capital at scale and improving terms.

The securitization was structured with two classes of A-rated notes and a single class of BB-rated notes, which were retained. The $234 million Class A-1 Notes were marketed in a public asset-backed securitization, while the $350 million Class A-2 Notes were privately placed. The Class A Notes were priced with a coupon of 6.30%, reflecting a spread of 220 basis points and a 6.353% yield.

The transaction is backed by a diversified portfolio of 38,706 systems distributed across 76 utility service territories in 19 states, Washington D.C., and Puerto Rico. The weighted average customer FICO score is 744, indicating a high level of creditworthiness. The notes have an expected weighted average life of 6.88 years, an Anticipated Repayment Date of August 1, 2033, and a final maturity date of August 1, 2061.

Sunrun's Chief Financial Officer, Danny Abajian, stated that this securitization transaction demonstrates the company's ability to access capital at scale and improving terms. The pricing of this securitization represents an improvement in credit spreads compared to Sunrun's previous transactions in September 2025 and July 2025, which priced with a spread of 240 basis points.

The successful completion of this securitization is a significant milestone for Sunrun, highlighting the strong demand for high-quality solar and storage assets. The company anticipates raising additional subordinated subsidiary-level non-recourse financing secured, in part, by the distributions from the retained Class B notes, which is expected to increase the cumulative advance rate obtained by Sunrun.

As the solar and energy storage markets continue to grow, Sunrun is well-positioned to capitalize on this trend. The company's ability to secure funding at competitive rates will enable it to expand its operations, invest in new technologies, and provide more customers with access to clean and affordable energy.

In the context of the broader energy landscape, Sunrun's securitization is a significant development. The solar and energy storage industries are experiencing rapid growth, driven by declining technology costs, increasing demand for renewable energy, and favorable government policies. As the market continues to evolve, companies like Sunrun are playing a critical role in driving innovation and adoption of clean energy solutions.

With this securitization, Sunrun has demonstrated its commitment to providing customers with access to affordable and reliable clean energy. The company's focus on innovation, customer satisfaction, and financial discipline has enabled it to establish itself as a leader in the solar and energy storage markets. As the energy landscape continues to shift, Sunrun is well-positioned to remain at the forefront of the industry, driving growth and innovation in the years to come.