Innergex completes Alterra swoop
$1.1bn acquisition will increase company's portfolio by 485MW to over 1.6GW
Innergex Renewable Energy has completed the acquisition of Alterra Power Corp for $1.1bn and the assumption of the latter’s debt.
The deal adds 485MW of renewables assets under construction or operational to Innergex’s portfolio, bringing the total to more than 1.6GW.
Innergex said that by 2020 total installed capacity will surpass 2GW from a mix of hydro, wind, solar and geothermal projects in Canada, US, France and Iceland.
The acquisition also brings Innergex a pipeline of prospective projects in preliminary stages or early development with an estimated net capacity of more than 5GW.
Innergex president and chief executive Michel Letellier said: “Our acquisition of Alterra is about accelerating our growth and taking Innergex to the next level.”
“By combining the Innergex and Alterra teams, and leveraging Alterra’s US development expertise, we can significantly expand our presence in the US market as well as Canada, Latin America and Europe.”
Alterra executive chairman Ross Beaty has joined Innergex’s board of directors as part of the deal.
Innergex has also completed the financing of the cash portion of the transaction, with La Caisse providing a $150m subordinated unsecured five-year term loan.
The company has also increased its revolving credit facilities by $225m to $700m, led by BMO Capital Markets, National Bank Financial and TD Securities as co-lead arrangers and joint book managers.
The increase enables Innergex to “pursue the development of its asset portfolio and the construction of its projects”, it said.
Image: Alterra Power Corp