The partners will invest up to $75m in a $175m solar energy development fund.

The financing will also be used by TerraForm Power to purchase up to 60MW of solar power projects, which will be developed by SunEdison in 2014 and 2015.

SunEdison North America project finance vice-president Ryan Bennett said: "Putting together a fund with an investment commitment from JPM Capital, one of the world’s leading tax equity investors in renewable energy projects, is an important milestone not only for our company, but for the solar industry as a whole.

"This is one of the largest funds of its kind in 2014, and it puts SunEdison and Terraform Power in an ideal position to rapidly grow and expand the solar energy market, all while offering excellent pricing and financing to our customers."

The funding would enable SunEdison to continue to provide advantageous pricing and financing to its customers.

TerraForm Power president and chief executive officer Carlos Domenech said: "This fund enables TerraForm Power to make substantial acquisitions that strengthen our position as a leader in the highly fragmented solar energy market.

"Our partnership with SunEdison together with JPM Capital’s investment commitment positions TerraForm Power to continue our expansion in this fast-growing, high-margin segment."