Sunrun Rises on Comcast Deal -- WSJ
August 25 2017 - 3:02AM
Dow Jones News
By Erin Ailworth
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (August 25, 2017).
Shares of solar installer Sunrun Inc. jumped Thursday after the
company announced a marketing and investment deal with cable giant
Comcast Corp.
Under the 40-month deal, Comcast has agreed to market Sunrun's
solar systems to its customers. Sunrun will pay it a fee for any
new customers brought in and is offering Comcast an option to earn
a nearly 10% stake in the solar company.
Sunrun shares rose as much as 10% Thursday following the
announcement.
Lynn Jurich, Sunrun's chief executive, said Comcast's marketing
reach could add tens of thousands to Sunrun's customer base, which
currently sits at about 150,000.
"This partnership is another sign that we are just getting
started," Ms. Jurich said in an interview. "It's another way to
spread the word."
Comcast, which has nearly 29 million customers, said it sees
solar energy as a complement to the home security and automation
services it already provides.
"By working with Sunrun, Comcast can help customers take more
control of the price they pay for energy, save them money and help
contribute to cleaner communities," said Jon Kaplowitz, a managing
director at Comcast Cable.
The two companies have teamed up previously, with Comcast
offering Sunrun's systems to customers during a one year pilot that
started in 2015. That pilot, the companies said, paved the way for
Thursday's deal.
Comcast expects to begin offering Sunrun's rooftop solar
services to customers in selected states later this year. If at
least 30,000 customers install Sunrun's systems, Comcast will
qualify for a stake in the solar company. That stake will rise on a
prorated basis to, at most, 9.99% if 60,000 customers install with
Sunrun.
The deal comes after a residential solar boom over the last
several years, though some believe that trend is slowing.
Federal data show that the amount of electric-generating
capacity from small-scale residential solar systems has more than
doubled in the last few years, hitting 7.4 gigawatts in 2016, up
from 3.3 gigawatts in 2014.
Write to Erin Ailworth at Erin.Ailworth@wsj.com
(END) Dow Jones Newswires
August 25, 2017 02:47 ET (06:47 GMT)
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