Boralex Announces Closing of the Acquisition of Interests in 7 Solar Plants in United States

Feb 3, 2021 05:34 PM ET
  • Boralex has actually announced the closing of the formerly reported acquisition of the managing passions in a portfolio of seven solar plants located in the United States, for a purchase rate of CA $277 million (United States $215.6 million) after specific adjustments made according to the purchase arrangements.

The 7 solar plants have an overall gross installed capability of 209 MWac, whereby the acquired rate of interests cause a web installed ability of 118 MWac to Boralex. Given that Boralex will certainly control such solar assets, the monetary info with respect thereto will certainly be reported on a combined basis.

The solar plants, located in California (5 ), Alabama (1) and Indiana (1 ), were appointed between 2014 and also 2017 and benefit from lasting Power Purchase Agreements (" PPAs") with the Regents of the University of California, Alabama Power Company, PG&E, Southern California Edison, City of Palo Alto, and also Indianapolis Power & Light. Alabama Power has actually not exercised the right of first refusal it had pertaining to the Lafayette solar plant.

Adhering to the deal, Boralex's total installed ability around the world stands at 2,455 MW.

Picked Highlights

  • Purchase price: CA$ 277M (US$ 215.6 M).
  • Project debt financing of CA$ 192M (US$ 149M) finished with National Bank of Canada, Silicon Valley Bank, Caixa Bank and Bayern LB. Debt is covering 69% of the acquisition price.
  • Includes 209 MWac to Boralex's mounted capacity.
  • Long-term contracts with a staying weighted average period of near 21.5 years.
  • Expected EBITDA contribution: around CA$ 35M (United States $27M) under IFRS standing for 100% of EBITDA for solar farms that will certainly be combined in the Corporation's economic statements.
  • Accretive to discretionary cash flow (AFFO) per share in the very first year with anticipated AFFO of concerning CA$ 4M (US $3M) or $0.03 per share, a 3% boost over the combined amount produced by Boralex in 2019.

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