Western Wind Energy Corp. says it has executed a term sheet with Champlin/GEI Wind Holdings to acquire the rights and title to a 4 GW wind energy development pipeline, with near term projects in Hawaii and Utah. Additional large projects are in California and throughout the U.S. in niche markets with strong renewable portfolio standards and power purchase agreement pricing.
The cost of the acquisition is $20 million, payable by the issuance of 8 million common shares at a deemed value of $2.50 per share. The term sheet will be subject to completion of due diligence, formal documentation, board approvals and approval of the TSX and the applicable securities regulatory agencies, including applicable escrow provisions.
CGEI Wind is jointly owned by Good Energies and Champlin Windpower LLC, and is led by Mike Cutbirth, former head of global finance for Zond Corp. and Enron Wind and the first CEO of Clipper Windpower. Cutbirth will join the board of Western Wind if the transaction closes.