Canadian Solar explores options for Recurrent Energy unit - Bloomberg

Canadian Solar is currently evaluating potential avenues for its Recurrent Energy unit, as reported by Bloomberg through sources familiar with the situation. This development comes in the wake of Recurrent Energy losing eligibility for certain US clean energy tax credits, according to people who requested anonymity due to the sensitive nature of the information.

Recurrent has been actively working towards reducing its debt levels as its US operations struggle with rising material costs caused by tariff pressures. Solar developers are also grappling with new regulations that limit the use of Chinese equipment in clean energy projects seeking the investment tax credit, which requires projects to commence before July 4 for qualification.

In May, Recurrent Energy disclosed its intent to pursue asset sales to further reduce its balance sheet leverage, as the company held approximately $2.17 billion in non-recourse borrowings as of the end of the previous year. With a portfolio spanning six continents, Recurrent Energy has successfully developed 12.2 gigawatts of solar capacity and 6.4 gigawatt-hours of battery storage.