Sol-Wind Renewable Power L.P. has filed an S-1 form with the U.S. Securities and Exchange Commission (SEC) for its initial public offering (IPO). No terms were given in the filing, but it is valued up to $100 million. The stock will list on the New York Stock Exchange under the symbol SLWD.
The underwriters for the offering are UBS Investment Bank and Citigroup.
The company is a growth-oriented limited partnership formed with the intent to own, acquire, invest in and manage operating solar and wind power generation assets. These assets generate power for retail, municipal, utility and commercial customers under long-term power purchase agreements or similar contracts that generate stable, long-term contracted cash flows.
As a master limited partnership (MLP), Sol-Wind’s objective is to pay a consistent and growing cash distribution to its unitholders on a long-term basis. On completion of this offering, the company will acquire from its general partner equity and debt interests in a diversified portfolio of 184.6 megawatts (MW).
A few favorable trends are expected to contribute to significant growth in the renewable energy industry, particularly from regional and local developers of renewable energy projects that are not associated with large utilities or energy firms. Sol-Wind intends to take advantage of favorable trends in the energy industry, including:
- The continued construction of renewable energy assets to supplement existing and aging energy infrastructure
- Demand for renewable energy required to meet U.S. state renewable portfolio standards
- Availability of U.S. and overseas government incentives and programs to support development of clean energy
- The rapid growth in non-utility customer demand for attractively priced renewable energy generation at a
commercial or residential customer’s point of delivery - Improvements in solar and wind technological and operational efficiencies
- Environmental concerns regarding conventional energy generation
The proceeds from this offering are expected to be used to for working capital and general partnership purposes. The remainder of the proceeds will be used to pay fees and expenses associated with the company’s formation. The proceeds will also be used to repurchase an equal number of units from the company’s general partner, 40 North.
ALSO READ: Merrill Lynch’s Top MLP Picks for 2015
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
