Dec 22 2014
TerraForm Power, Inc. has completed its acquisition of 77.6 MW of distributed generation solar power plants from the Capital Dynamics U.S. Solar Energy Fund, L.P. (the "Fund").
The transaction is expected to provide approximately $21 million in unlevered Cash Available for Distribution (CAFD) in the next year and will be immediately accretive to CAFD per share. The power purchase agreements in the acquired portfolio have a weighted average remaining contract life of 19 years with a weighted average credit rating of A3/A-.
As previously disclosed, the acquisition is being funded through an increase of TerraForm Power's existing Term Loan Facility. Concurrent with closing, TerraForm Power has increased the size of its Revolving Credit Facility to $215 million, which is currently undrawn.
"The 39 high quality power plants we acquired with this transaction further our growth strategy and extend our leadership position in the fragmented distributed generation market place," said Carlos Domenech, President and Chief Executive Officer of TerraForm Power. "Along with the previously closed Hudson Energy Solar acquisition, the recently announced acquisition of First Wind and accelerated drop-downs from SunEdison, we have demonstrated our ability to execute high-quality transactions that create significant returns for our shareholders."
About TerraForm Power
TerraForm Power is a renewable energy leader that is changing how energy is generated, distributed and owned. TerraForm Power creates value for its investors by owning and operating clean energy power plants. For more information about TerraForm Power, please visit: http://www.terraform.com.
Source: http://www.terraform.com/