HASI Prices $500 Million Green Notes at 7.850% to Fund Clean Energy

HASI has priced a $500 million public offering of green junior subordinated notes carrying a 7.850% interest rate and maturing in 2057. The company, formally HA Sustainable Infrastructure Capital, announced the pricing on November 9, 2026, with settlement expected on November 24, subject to customary closing conditions.

Net proceeds will total approximately $493.3 million after underwriting discounts and offering expenses, the company estimates. HASI will use the financing to support its sustainable infrastructure investment strategy across renewable energy, storage, and energy efficiency projects.

Who stands behind the notes?

Several affiliated entities will guarantee the securities on a subordinated basis. The guarantors include Hannon Armstrong Sustainable Infrastructure, Hannon Armstrong Capital, and certain related holding companies.

The instrument itself sits low in the creditor queue. Junior subordinated notes generally rank below senior indebtedness in the order of claims against a borrower. That ranking is the trade-off. The structure gives HASI long-dated financing through 2057 while establishing a clear priority of these securities relative to its other obligations — a 31-year maturity that matches the long payback horizons of the assets it funds.

Where does the money go first?

HASI intends to use the immediate proceeds to repay portions of existing borrowings temporarily. The candidate obligations include:

• Its Standalone Commercial Paper Program
• Its unsecured credit facility
• Its Credit-Enhanced Commercial Paper Program

The repayment is a bridge, not a destination. HASI will allocate an amount of cash equal to the net proceeds toward acquiring, investing in, or refinancing eligible green projects. Projects with qualifying disbursements made during the 12 months preceding the issuance date qualify. So do projects with disbursements expected within two years following issuance.

Until the full amount reaches qualifying investments, HASI may park the funds in short-term interest-bearing instruments or apply them toward temporary debt repayment. The company designed the structure to keep flexibility in managing the financing while holding to its commitment to eligible sustainable infrastructure investments.

What does the deal say about HASI's portfolio?

HASI invests across multiple categories of energy transition infrastructure. Its portfolio spans utility-scale solar, onshore wind, energy storage, distributed solar and battery systems, renewable natural gas, and energy efficiency. The company manages more than $19 billion in assets.

Its strategy combines financing expertise with long-term relationships involving energy developers and infrastructure operators. The economics explain the model. Renewable energy and storage projects can require substantial upfront capital before generating recurring revenue, and infrastructure investors supply that capital through debt, equity, and structured arrangements. HASI deploys capital into projects that offer financial returns alongside measurable environmental benefits.

Which banks ran the deal?

A wide syndicate of investment banks served as joint book-running managers:

• Mizuho Securities
• BofA Securities
• Goldman Sachs
• Truist Securities
• Barclays
• BMO Capital Markets
• Credit Agricole
• ING
• KeyBanc
• M&T Securities
• Natixis
• Rabo Securities
• Scotiabank
• SMBC Nikko Securities

The breadth of the syndicate signals distribution reach across US, European, and Japanese investor bases for hybrid green paper.

The offering extends HASI's pattern of using capital markets financing to fund its investment program. By raising $500 million at a fixed 7.850% coupon through 2057, the company locks in long-term funding for eligible sustainable infrastructure assets while managing its short-term borrowing arrangements — and further future green issuances will show whether investors keep accepting hybrid risk at this coupon level.