Another day, another major acquisition – SunEdison, Inc. (NYSE: SUNE) has announced its yieldco, TerraForm Power (NASDAQ: TERP), has signed an agreement to acquire net ownership of 930 megawatts of wind farms from Invenergy Wind LLC.
The portfolio consists of seven contracted wind farms located in the United States and Canada with a weighted average remaining contract life of 19 years.
“TerraForm Power continues to transform the energy landscape with our acquisition of Invenergy’s wind power portfolio,” said Carlos Domenech, TerraForm Power’s CEO.
The company intends acquiring net ownership of 460 MW of the wind farms from Invenergy with the remaining 470 MW to be acquired by a new warehouse facility, similar to that recently created by SunEdison for the acquisition of Atlantic Power’s wind assets.
“TerraForm Power’s acquisition of the Invenergy wind plants leverages the power of SunEdison’s platform which was enhanced with our acquisition of First Wind in January of 2015,” said Ahmad Chatila, SunEdison CEO and TerraForm Power chairman.
Invenergy, the largest independent wind owner in the United States with approximately 6.6 gigawatts operating capacity and another 2.5 GW under construction or contract, will retain a 9.9 percent stake in the U.S. assets and will continue to provide some operation and maintenance services for the acquired facilities.
“Clean power is driving our energy future, and this transaction will enable us to further invest in our industry-leading development pipeline and bring significantly more clean energy to market in the years ahead,” said Michael Polsky, Invenergy founder, president and CEO.
SunEdison says this acquisition won’t be the end of its dealings with Invenergy and sees significant opportunities for future collaboration and growth.
SunEdison and Terraform anticipate finalising the acquisition by the final quarter of this year and will discuss the transaction during a conference call scheduled for 8:30 am USA EDT Tuesday, July 7.
This deal is the third major wind power announcement from SunEdison and TerraForm Power this month – and we’re only a week into July. Last week, SunEdison and Gamesa announced the signing of an MoU for up to 1 gigawatt of wind farms to be developed around the world by 2018. Earlier last week, the company said it had commenced construction of the 185MW Bingham Wind project in Maine, USA.