Our financing strategy is to utilize a combination of bank loans, credit facilities, tax equity financing, and institutional private equity to purchase solar equipment and construct the Projects.
Each project we develop requires a substantial capital investment. Permanent project financing is often arranged immediately prior to the construction of a project. With limited exceptions, this debt financing is for approximately 50% to 80% of each project’s costs and is structured on a basis that is non-recourse to Vasari Energy, Inc. and our other projects.
In addition, the collateral security for each project’s financing generally will be limited to the physical assets, contracts and cash flow of that project and the Company’s ownership interests in that project.