TerraForm Power Inc. has added 77.6 MW of solar PV assets to its portfolio after shelling out $250 million to acquire them from Capital Dynamics.
The 39 PV projects are located in California, Massachusetts, New Jersey, New York and Pennsylvania and were acquired via an extension to an existing loan, the company revealed.
As the owner and operator of solar farms built mainly by its parent company SunEdison, TerraForm Power has plenty of clout across the U.S. solar landscape, and these new acquisitions are believed to represent an attractive cash-on-cash return of around nine per cent, according to TerraForms CEO Carlos Domonech.
The company raised $501 million in its July initial public offering (IPO) as it became a leading solar yieldco a move that has enabled TerraForm to finance renewable energy projects at lower costs.
Capital Dynamics will continue to invest in clean energy projects globally having carefully assessed the benefits of selling these 39 PV projects developed under the U.S. Solar Energy Fund to TerraForm.
"I am pleased that the sale of our U.S. Solar Fund assets achieves our goal of realizing risk-adjusted returns for our investors and we look forward to working with TerraForm Power on other opportunities in the future," revealed Capital Dynamics CEO Stefan Ammann. "We were an early mover in the U.S. solar market and we will work to build on this advantage by continuing to identify and grow opportunities in clean energy infrastructure."
Ammann added that the U.S. Solar Energy Fund is one of several funds managed by the Capital Dynamics Clean Energy and Infrastructure (CEI) team, alongside a broad array of other power assets, including wind farm investment.
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.
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.