Sunrun Closes $150 Million Funding Round to Expand Rooftop Solar

May 15, 2014 4:13 pm ET

May 15 (Bloomberg) -- Sunrun Inc., a closely held provider of rooftop systems, closed a $150 million equity round it will use to improve its technology in the fastest-growing segment of the U.S. solar industry.

A “leading public institutional investor” led the round by contributing $100 million, with the remainder coming from new and existing investors, San Francisco-based Sunrun said in a statement today. Andrew Pontti, a company spokesman, declined to name investors when reached by telephone.

Sunrun provides financing for residential rooftop systems and typically hires local contractors to build them.

The company in February bought Mainstream Energy Corp., a maker of racking units, to become more of a full-service home solar supplier such as SolarCity Corp., which also offers systems at little to no upfront cost to customers who sign long- term power contracts.