SunEdison acquires 2 wind companies, raises $403 million for yieldco

Share

Not a company to do things by half, SunEdison released three statements within a matter of minutes, detailing its latest company developments.

The renewable energy developer – the world’s largest – will acquire 100% of Central American renewable energy company Globeleq Mesoamerica Energy (GME) from Actis (70%) and Mesoamerica Power Limited (30%). Closing is expected in Q3.

While the financial details were not released, SunEdison stated, "The acquisition will solidify SunEdison's position as the largest renewable energy developer in Central America as it expands its presence in the global renewable energy market."

Overall, SunEdison will add to its portfolio four operating wind power plants, totaling 243 MW, and an 82 MW solar plant, in Costa Rica, Honduras and Nicaragua. GME has an additional 80 MW of wind farms under construction in Costa Rica, and 246 MW of wind under development throughout the Central American region.

"All of the operational and construction assets are contracted under long term U.S. dollar-denominated power purchase agreements (PPAs) with local utilities or suppliers," continued SunEdison.

Both the wind and solar power plants will be placed on yieldco platform TerraForm Global’s operational call rights list. Meanwhile, Actis and Mesoamerica Power will become shareholders in TerraForm.

India

Following speculation, SunEdison has also confirmed it will acquire 100% of Singapore-based Continuum Wind Energy Limited. The U.S. company will add 242 MW of operational wind plants in India to its growing portfolio, in addition to 170 MW under construction. Overall, Continuum has over 1 GW of wind projects in the pipeline across six Indian states.

"India is a core market for SunEdison and offers growth opportunities in wind and solar energy," said Ahmad Chatila, SunEdison president and CEO. Closing is also expected in Q3. No financial details were released.

Again, SunEdison intends to place the acquired power plants on the operational call rights list for TerraForm Global. Meanwhile, SunEdison Services will undertake O&M services of the wind plants.

Funds raised

In a third, separate announcement, SunEdison said $403 million had been raised for TerraForm Global LLC, via a $335 million private placement of membership interests completed by itself, and a stock purchase agreement for the sale of $67.5 million of its Class A common stock, entered into by subsidiary, TerraForm Global Inc. This is conditioned upon the closing of its initial public offering.

These investments are in addition to the $175 million of private placements announced on May 7. Institutional investors included Baron Funds, Capricorn Investment Group, GE, Glenview Capital Management, Kingdon Capital Management and Zimmer Partners, said SunEdison.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.

Share

Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.