in News Departments > New & Noteworthy
print the content item

Atlantic Power Corp. has closed on its acquisition of Ridgeline Energy Holdings Inc., a developer and operator of renewable energy projects.

The acquisition increases the company's ownership interest in the Rockland wind project to a 50% managing member interest from 30%, and adds a 12.5% interest in the 125 MW Goshen North project in addition to a 100% equity interest in Meadow Creek. The total cost of the Ridgeline acquisition was $88 million, and includes the purchase of all of the outstanding shares of capital stock of Ridgeline and the 100% equity interest in Meadow Creek.

The purchase price for the acquisition (together with working capital and acquisition expenses) was financed through a firm underwritten public offering, on a bought deal basis, of C$100 million aggregated principal amount of the debentures. Upon the closing of the acquisition, the maturity date of the debentures was automatically extended from March 31, 2013, to Dec. 31, 2019, in accordance with the terms of the debentures.

In addition, Atlantic Power will consolidate approximately $205 million and $43 million of existing nonrecourse project-level debt at Meadow Creek and Rockland, respectively, with approximately $55 million of current Meadow Creek debt to be repaid with a U.S. stimulus grant this quarter.

Atlantic Power also announced that the 300 MW Canadian Hills Wind project has entered commercial operation and that the company closed tax-equity funding for the project and fully repaid the project's $272 million construction loan.

The project received tax-equity investments in aggregate of $225 million from a consortium of four institutional tax-equity investors, along with an approximately $47 million tax-equity investment by the company that it expects to syndicate with additional tax-equity investors this quarter.

Atlantic Power owns 99% of the project, having made a $200 million capital contribution in July 2012. Cash distributions to the company from the project are expected to be in the range of $16 million to $19 million for each full year of operation through 2020, and are expected to increase thereafter.



Advertisement

Trachte_id2056
Latest Top Stories

Slow Turning: What's Stopping Individual Blade Pitch Control From Wider Acceptance?

Advances have made it feasible for wind turbine blades to adjust individually. However, other factors are preventing the technology's widespread use.


Deepwater Hits Financial Close For Block Island Wind Farm, Expects Summer Construction

The Providence, R.I.-based offshore wind developer becomes the first to financially close on a U.S.-based offshore wind project.


More Investors Entering Tax Equity Market; Returns Holding Steady

The entry of new tax equity investors to the wind space last year re-ignited an old debate.


Report: Top 10 Turbine OEMs Had Record Year In 2014

Preliminary findings suggest Vestas reigned supreme again among the world's leading wind turbine makers. How did some of the other OEMs fare?


AWEA's Gramlich To FERC: Additional Transmission Needed Regardless Of Clean Power Plan

To further build a more balanced and reliable electricity portfolio, the U.S. needs to build more transmission capacity.

Hybrid Energy Innovations 2015