- Announces it has entered into a definitive agreement to acquire a 100% interest in a portfolio of three operating solar facilities located in
Ontario . - Adds high quality operating assets which are fully contracted for an average remaining term of almost nine years.
- Offers solid cash flow characteristics through an attractive fixed power purchase agreement price, and stable operating profile.
- The Portfolio's cash flow from operating activities and Free Cash Flow1 has averaged an annual
$23.0 million and$7.5 million respectively over a historical four-year period.
"This is our first acquisition in
The Portfolio
The
All three facilities are fully contracted under long-term Renewable Energy Standard Offer Program power purchase agreements with the
SSM1 | SSM2 | SSM3 | |
Gross installed capacity | 20 MW | 30 MW | 10 MW |
Commissioned | |||
Remaining term of power purchase agreement | 8 years | 9 years | 9 years |
The assets are expected to generate annual revenues of approximately
Approvals and Timeline
The acquisition is expected to close in Q1 2023 and is subject to certain regulatory approvals in
Advisors
About
For over 30 years,
Cautionary Statement Regarding Forward-Looking Information
To inform readers of the Corporation's future prospects, this press release contains forward-looking information within the meaning of applicable securities laws ("Forward-Looking Information"), including the Corporation's growth targets, power production, project acquisitions, and strategic, operational and financial benefits and accretion expected to result from such acquisitions, business strategy, business integration, and other statements that are not historical facts. Forward-Looking Information can generally be identified by the use of words such as "approximately", "may", "will", "could", "believes", "expects", "intends", "should", "would", "plans", "potential", "project", "anticipates", "estimates", "scheduled" or "forecasts", or other comparable terms that state that certain events will or will not occur. It represents the projections and expectations of the Corporation relating to future events or results as of the date of this press release.
Forward-Looking Information includes future-oriented financial information or financial outlook within the meaning of securities laws, including information regarding the Corporation's estimated targeted revenues, targeted cash flow from operating activities, targeted Free Cash Flow, the estimated project costs and other statements that are not historical facts. Such information is intended to inform readers of the potential financial impact of expected results, of the expected commissioning of Development Projects, of the potential financial impact of completed and future acquisitions and of the Corporation's ability to sustain current dividends and to fund its growth. Such information may not be appropriate for other purposes.
Forward-Looking Information is based on certain key assumptions made by the Corporation, including, without restriction, those concerning hydrology, wind regimes and solar irradiation; performance of operating facilities, acquisitions and commissioned projects; project performance; availability of capital resources and timely performance by third parties of contractual obligations; favourable market conditions for share issuance to support growth financing; favourable economic and financial market conditions; the Corporation's success in developing and constructing new facilities; successful renewal of PPAs; sufficient human resources to deliver service and execute the capital plan; no significant event occurring outside the ordinary course of business such as a natural disaster, pandemic or other calamity; continued maintenance of information technology infrastructure and no material breach of cybersecurity.
For more information on the risks and uncertainties that may cause actual results or performance to be materially different from those expressed, implied or presented by the forward-looking information or on the principal assumptions used to derive this information, please refer to the "Forward-Looking Information" section of the Management's Discussion and Analysis for the three- and nine-month periods ended
Cautionary Statement Regarding Non-IFRS measures
Some measures referred to in this press release are not recognized measures under IFRS and therefore may not be comparable to those presented by other issuers.
1This measure is not a recognized measure under IFRS and therefore may not be comparable to the one presented by other issuers. Please refer to the "Non-IFRS Measures" section of the three- and nine-month periods ended |
2This measure is not a recognized measure under IFRS and therefore may not be comparable to the one presented by other issuers. Please refer to the "Non-IFRS Measures" section of the three- and nine-month periods ended |
SOURCE
© Canada Newswire, source