Energy
SunEdison and Canadian Solar Move Forward on Solar Projects
Published:
Last Updated:
In mid-August SunEdison and Dominion signed another joint venture deal for a 420-megawatt DC solar farm also located in Utah. That project is called Four Brothers and is fully financed and scheduled to begin operation next year with a 20-year power-purchase agreement with PacifiCorp, a subsidiary of Berkshire Hathaway Inc. (NYSE: BRK-A).
Dominion will invest approximately $320 million in Three Cedars to acquire 50% of the cash equity and 99% of the tax equity, including construction funding. Dominion paid approximately $500 million in the joint venture for Four Brothers. Both projects are included in the Call Right Projects List for SunEdison yieldco TerraForm Power Inc. (NASDAQ: TERP). The list includes assets TerraForm has an option to buy once the projects are completed.
SunEdison’s purchase of the Dominion assets is being made by a joint venture between SunEdison and institutional investors, advised by JPMorgan. SunEdison has a future option to buy all or a portion of Dominion’s remaining 67% ownership in the product portfolio.
At the same time as SunEdison and Dominion were making these deals, Canadian Solar Inc. (NASDAQ: CSIQ) announced that its wholly owned subsidiary, Recurrent Energy, had secured financing for a 100-megawatt project currently under construction in California. Santander Bank will provide a $165 million construction loan, a tax equity bridge loan and a term-loan option for the Mustang solar project. U.S. Bancorp Community Development Corporation is making a tax equity investment in the project under a separate agreement.
The Mustang project is expected to be completed in the fourth quarter of 2016, and the electricity and associated renewable energy credits (RECs) will be sold under long-term power-purchase agreements.
ALSO READ: 7 Energy Stocks Analysts Want You to Buy Now
SunEdison stock traded up about 4.8% Tuesday morning, at $12.56 in a 52-week range of $8.10 to $33.45.
Dominion’s shares traded up about 1.2% to $68.00, in a 52-week range of $65.53 to $80.89.
Canadian Solar traded higher by about 3.5%, at $18.95 in a 52-week range of $14.16 to $41.12.
Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation.
A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.