Innergex Renewable Energy to acquire Alterra Power Corp.
$1.1 billion transaction to meaningfully diversify Innergex's asset portfolio in terms of geography and energy sources
Transaction to solidify Innergex's position as a leading renewable energy independent power producer by adding eight operating projects (net 364 MW), three projects under construction (net 118 MW), three prospective projects at an advanced stage (net 686 MW), other U.S. PTC-qualified prospective projects (net 490 MW), and an extensive pipeline of prospective projects in preliminary stages or in progress (net 4,350 MW)
Transaction expected to be accretive to Innergex's distributable cash flow per share upon completion of Alterra's projects currently under construction and some of the advanced-stage prospective projects
Transaction to be fully funded and supported by a new subordinated unsecured loan from Caisse de dépôt et placement du Québec ("la Caisse"); commitments obtained from two leading Canadian banks to backstop and upsize Innergex's existing credit facility in order to maintain a strong and flexible balance sheet and provide ample liquidity to fully fund Innergex's development portfolio pro forma for the transaction
Alterra shareholders to receive $8.25 per Alterra common share, payable in $2.06 cash and 0.4172 of a common share of Innergex, after the effect of full pro-ration, for a total transaction value of $1.1 billion, including the assumption of Alterra's debt
Alterra shareholders to realize an immediate immediate premium and an opportunity to continue to participate in the go-forward growth of Innergex
- Published: 31 October 2017
- Written by Editor