SolarCity has priced $201 million of notes backed by solar assets, its third and largest securitization to date.

The $160 million senior class, rated ‘BBB+’ by Standard & Poor’s, was sold at a fixed interest rate of 4.026%, according to a company statement. The notes have a weighted average life of 6.89 years and were priced at a spread of 180 basis points over interpolated swaps, according to aperson familiar with the deal.   

The $41.5 million junior class, rated ‘BB,’ wase sold at a fixed interest rate of 5.45%. The notes are due July 20, 2022 and have a weighted average life of 6.89-years.

Credit Suisse is the lead manager on the deal.

The issuer’s first two securitizations, completed in April 2014 and November 2013 were sized at just $70.2 million and $54.4 million, respectively.

Despite its larger size, pricing on the most recent deal was more favorable to SolarCity. It had to pay investors a fixed interest rate of 4.80% on its inaugural deal and 4.6% on its second deal.

All three deals are backed by the cash flow generated by a pool of photovoltaic systems and related leases and power purchase agreements.

The 2014-2 deal includes almost 16,000 rooftop PV systems in the pool, about three times the previous offerings with an aggregate size of 118 megawatts (DC), according to S&P.  By comaprison SolarCity’s 2014-1 transaction includes 6,596 PV systems and its inaugural 2013-1 deal included 5,033 PV systems.

SolarCity sells renewable energy to customers that generally either sign a lease or a power purchase agreement (PPA) with the firm. “Lease customers pay a fixed monthly fee with an electricity production guarantee, and PPA customers pay a rate based on how much the electricity the solar energy system actually produces,” S&P said in its presale report on the latest deal.

The ratings agency said  that the issuer  has been given permission to operate approximately 70,200 financed systems.  

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