Canadian independent power producer Innergex Renewable Energy Inc. has signed an agreement with Germany-based wpd europe GmbH for the acquisition of eight wind power projects in northern France.
Seven projects, totaling 87 MW of installed capacity, are currently in operations, and another project, which is under construction, will have an installed capacity of 44 MW. The purchase price for the projects is approximately C$137 million, subject to certain adjustments.
Innergex expects to complete its acquisition of the operating projects and under-construction project by April 30 and during the first quarter of next year, respectively. Each project has between four and 22 turbines – a total of 52 Enercon and 10 Nordex towers. The average age of the facilities is two years, and the average remaining term of the power purchase agreements is 13 years.
To help finance the acquisitions, Innergex has announced a private placement of C$50 million with three Desjardins Group-affiliated entities.
In addition, Innergex has reached an exclusive agreement with Société Environnement Minéraux SARL (SEM) and DRC SARL to develop a portfolio of wind power projects totaling over 100 MW in France over a period of five years. Any project identified and developed by SEM and DRC will be wholly owned by Innergex.
Innergex says these transactions represent the company’s first step to gaining a foothold in Europe; immediately increasing its gross installed capacity of projects from 1,232 MW to 1,319 MW; increasing its gross capacity of projects under development from 297 MW to 341 MW; and increasing its free cash flow per share.