Blackstone vehicle selling USD-44m stake in Vivint Solar

Image by Twitter, @VivintSolar

November 30 (Renewables Now) - A company tied to private equity major Blackstone Group LP (NYSE:BX) is looking to sell a 6.7% stake in US residential solar company Vivint Solar (NYSE:VSLR) in an underwritten public offering.

Vivint said in a statement that its principal stockholder 313 Acquisition LLC intends to offer and sell 8 million shares of Vivint Solar common stock at USD 5.50 (EUR 4.8) apiece, or a total of USD 44 million. The selling shareholder has also given the underwriters a 30-day option to buy a maximum of 1.2 million additional shares. BofA Merrill Lynch serves as sole book-running manager.

The solar power firm stressed that it will not get any of the proceeds from the offering.

A filing shows that 313 Acquisition, which is held by Blackstone-managed funds, owns 82.36 million Vivint Solar shares, equivalent to a 69% stake, prior to the offering. Post transaction, excluding the option for additional shares, the firm is expected to hold 74.4 million shares, or a stake of 62.3%.

Vivint's stock closed at USD 7.00 on the New York Stock Exchange on Thursday, down 0.28%.

Earlier this month, the company announced it has crossed the 1-GW threshold for rooftop solar installations since its launch. It closed the July-September quarter with a net loss of USD 7.9 million, against a profit of USD 6.9 million a year back. Its loss for the first nine months of the year was USD 2.7 million versus a profit of USD 25.1 million in the same period of 2017.

(USD 1.0 = EUR 0.879)

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