Subsequent Events

12 Months Ended

Dec. 31, 2022

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

Silicon Valley Bank

In March 2023, one of the Company’s banks, Silicon Valley Bank (“SVB”), failed and was closed. SVB was placed into receivership by the Federal Deposit Insurance Corporation (“FDIC”). A new bank, Silicon Valley Bridge Bank, NA was created which will be administered by the FDIC and assumed all ongoing business of SVB. The Company had cash invested in bank accounts at SVB in excess of the FDIC limit of $250,000 however the accounts were fully protected by the FDIC and the Company was able to withdraw all cash. In addition, the Company has an open letter of credit for $150,000 with the bank that it is currently working to close. SVB is also a counterparty to certain of the Company’s interest rate swap agreements. These positions have been assumed by the new bank and the Company does not believe that there is additional credit risk related to the interest rate swap agreements.

SEMTH Acquisition

In furtherance of its growth strategy, on March 23, 2023, the Company completed the acquisition of all the issued and outstanding interests in SS Holdings 2017, LLC and its subsidiaries ("SEMTH" and the “SEMTH Acquisition”) from certain funds managed by HPS Investment Partners, LLC (“HPS”), pursuant to a Membership Interest Purchase And Sale Agreement (“Purchase Agreement”) dated as of March 23, 2023. The SEMTH assets include 20-year use rights to the customer payment stream of approximately 22,500 residential solar leases and power purchase agreements. The Company acquired SEMTH for approximately $23 million of cash, net of cash received, and assumed $125 million of outstanding senior indebtedness held by SS Holdings 2017, LLC, and its subsidiaries at the close of the acquisition.