iSun, Inc., a leading solar energy and clean mobility infrastructure company announced the closing of an $8.0 million senior secured loan with Decathlon Capital Partners to refinance in full the prior senior secured convertible facility which had become overly dilutive.

The transaction, which carries a 48-month term, is a straight debt instrument, thus avoiding any equity dilution. Debt service payments begin at a smaller initial level and increase over the course of the loan in several step-ups, tracking the Company’s revenue growth. Along with Decathlon’s collaborative approach and covenant-light terms, these features make this an ideal funding instrument for iSun at this stage of the company’s life.

Funds will be utilized as follows:

• $6.0 million for the retirement of existing Senior Secured Convertible Notes previously issued to Anson Investment Master Fund, LP and Anson East Master Fund, LP
• $1.5 million to the balance sheet for working capital
• $0.5 million in transaction fees

“This is a huge milestone for iSun, and I want to say ‘thank you’ to our new financing partners at Decathlon and to our employees for all their hard work in getting this across the finish line,” said Jeffrey Peck, Chairman and Chief Executive Officer of iSun. “This debt facility validates our commitment to accelerating the transition to clean energy as we continue our fight against climate change while providing an opportunity to strengthen our balance sheet. After careful consideration of all available financing options, the terms negotiated with Decathlon were the most favorable for the iSun shareholders. As we continue to grow our geographic footprint and establish new customer relationships, we believe our ability to drive value across all aspects of the solar life cycle will create meaningful, long-term value for our shareholders.”

England & Company acted as exclusive advisor and placement agent for the financing and Merritt & Merritt acted as the Company’s legal counsel.