SunEdison, the Maryland Heights-based solar developer, has received a $410 million loan from Deutsche Bank to help pay for its $2.4 billion acquisition of First Wind, a U.S. developer, owner and operator of wind projects.
The loan carries a 3.75 percent interest rate and matures in January 2020.
The loan will be paired with financing SunEdison secured earlier this month.
The
First Wind acquisition, which closed last week, added more than 1.6
gigawatts of pipeline and backlog projects for SunEdison. Those projects
will eventually be sold to TerraForm Power, a subsidiary of SunEdison
that serves as a yieldco for SunEdison, which owns a majority of the
company.
The deal was paid for with an upfront payment of $1
billion, including the assumption of $361 million of debt at closing,
and an expected $510 million of earn-out payments over two and a half
years.
First Wind CEO Paul Gaynor has been appointed executive vice president of SunEdison's North American Utility and Global Wind business unit.
SunEdison shares were trading at $20.51 per share at market close Tuesday.
Source
Saturday, February 07, 2015
SunEdison Appoints EVP of North America Utility
SunEdison has appointed Paul Gaynor as Executive Vice President of SunEdison, responsible for the North America Utility and Global Wind business unit.
Paul Gaynor was previously the Chief Executive Officer of First Wind Holdings, LLC, which SunEdison acquired earlier this year. As the leader of the North America Utility and Global Wind business, Mr. Gaynor is charged with reinforcing SunEdison's leadership position in the North America utility scale solar market, growing the global wind platform and accelerating the development and construction of the projects acquired from First Wind.
"Paul possesses both the breadth and depth of industry experience and the leadership abilities that are essential to growing SunEdison's North America Utility and Global Wind business. At First Wind, Paul helped to build one of the leading U.S. wind energy companies, putting in place first-class development and operations," said Ahmad Chatila, President and Chief Executive Officer of SunEdison. "At SunEdison, Paul will apply his development and management expertise to accelerate the growth of our business as we go to market with a clean energy platform."
"I'm excited to join SunEdison and lead a very dynamic and experienced North American team," said Gaynor. "I look forward to working with my team to develop, build and operate well-sited and well-run renewable energy projects that deliver clean, cost effective solar and wind energy to our customers across North America and around the world."
Source
Paul Gaynor was previously the Chief Executive Officer of First Wind Holdings, LLC, which SunEdison acquired earlier this year. As the leader of the North America Utility and Global Wind business, Mr. Gaynor is charged with reinforcing SunEdison's leadership position in the North America utility scale solar market, growing the global wind platform and accelerating the development and construction of the projects acquired from First Wind.
"Paul possesses both the breadth and depth of industry experience and the leadership abilities that are essential to growing SunEdison's North America Utility and Global Wind business. At First Wind, Paul helped to build one of the leading U.S. wind energy companies, putting in place first-class development and operations," said Ahmad Chatila, President and Chief Executive Officer of SunEdison. "At SunEdison, Paul will apply his development and management expertise to accelerate the growth of our business as we go to market with a clean energy platform."
"I'm excited to join SunEdison and lead a very dynamic and experienced North American team," said Gaynor. "I look forward to working with my team to develop, build and operate well-sited and well-run renewable energy projects that deliver clean, cost effective solar and wind energy to our customers across North America and around the world."
Source
Wednesday, January 21, 2015
Baron Winds Wind Project, Steuben County, NY
- Up to 300 MW
- Up to 150 wind turbines
- Approximately 320,000 tons of offset CO2 each year
The Baron Winds Wind project is a proposed 300 MW wind farm located in the Towns of Hornellsville, Hartsville, Fremont, Wayland, and Cohocton and in Steuben County, NY. The project will be located on primarily farmland and recreational land and could include up to 150 turbines when completed. The project’s point of interconnection is expected to be in the existing Canandaigua substation in the Town of Cohocton. Current plans will utilize a turbine at 100 meter (330 feet) hub height and will include a series of project roads and overhead and underground collection and transmission lines throughout the project area.
The project will be subject to the New York State Article 10 Siting Process and will also be required to obtain other state, local and federal permits prior to construction and operation. If built the project would result in an estimated 320,000 tons of CO2 emission reductions, and will span up to 40,000 acres.
Power projects in NY are now permitting using the Article X Process. Information on the Process can be found by clicking the links below. Please check this site often for updates on the progress of the Baron Winds Wind Project.
Contact
For additional information and questions contact Kevin Sheen
Email: ksheen@everpower.com
Project Maps
Sunday, January 18, 2015
FIRST WIND - TerraForm Power Announces Public Offering of Common Stock
In the event the First Wind acquisition is not completed, TerraForm Power intends to use the net proceeds of this offering for general corporate purposes.
Select SEC filings:
and
Thursday, January 08, 2015
First Wind Secures Energy Sales Agreements with Idaho Power Company
http://www.altenergymag.com/news/2015/01/07/first-wind-secures-energy-sales-agreements-with-idaho-power-company/35769
Boston, MA and Boise, ID – January 5, 2015 – First Wind, a leading renewable energy company, today confirmed that the Idaho Public Utilities Commission has approved Energy Sale Agreements with five proposed First Wind solar projects and the Idaho Power Company. The contracts are for 20 years and for projects that total 100 megawatts (MW). The five 20 MW projects are spread across southern Idaho where they will provide energy and economic diversity to Ada, Elmore, Owyhee and Power counties.
"We're excited to announce these agreements for new solar energy in Idaho," said Paul Gaynor, CEO of First Wind. "These five projects will deliver clean, renewable solar energy to homes and businesses in Idaho at a cost-competitive price. The new long-term contracts with Idaho Power Company will enable us to move forward quickly and create a source of major economic activity for Idaho through good construction jobs and significant local tax revenues."
Each project is targeted to be completed by the end of 2016. Taken together, close to $10 million in direct property taxes will be generated by the projects over 20 years. The five projects combined are expected to generate approximately 250,000 MW hours annually – enough to power the equivalent of nearly 30,000 homes.
First Wind currently operates four solar projects in Massachusetts, and has additional solar projects in development in Hawaii and Utah. In Idaho, First Wind operates the 45 MW Power County Wind project on behalf of a third-party owner.
About First Wind
First Wind, which recently entered into an agreement to be acquired by SunEdison and TerraForm Power, is a leading renewable energy company exclusively focused on the development, financing, construction, ownership and operation of utility-scale renewable energy projects in the United States. Based in Boston, First Wind is operating or building renewable energy projects across the country, with combined capacity of nearly 1,300 megawatts (MW) – enough to power more than 375,000 homes each year. For more information on First Wind, please visit www.firstwind.com or follow us on Twitter @FirstWind.
Boston, MA and Boise, ID – January 5, 2015 – First Wind, a leading renewable energy company, today confirmed that the Idaho Public Utilities Commission has approved Energy Sale Agreements with five proposed First Wind solar projects and the Idaho Power Company. The contracts are for 20 years and for projects that total 100 megawatts (MW). The five 20 MW projects are spread across southern Idaho where they will provide energy and economic diversity to Ada, Elmore, Owyhee and Power counties.
"We're excited to announce these agreements for new solar energy in Idaho," said Paul Gaynor, CEO of First Wind. "These five projects will deliver clean, renewable solar energy to homes and businesses in Idaho at a cost-competitive price. The new long-term contracts with Idaho Power Company will enable us to move forward quickly and create a source of major economic activity for Idaho through good construction jobs and significant local tax revenues."
Each project is targeted to be completed by the end of 2016. Taken together, close to $10 million in direct property taxes will be generated by the projects over 20 years. The five projects combined are expected to generate approximately 250,000 MW hours annually – enough to power the equivalent of nearly 30,000 homes.
First Wind currently operates four solar projects in Massachusetts, and has additional solar projects in development in Hawaii and Utah. In Idaho, First Wind operates the 45 MW Power County Wind project on behalf of a third-party owner.
About First Wind
First Wind, which recently entered into an agreement to be acquired by SunEdison and TerraForm Power, is a leading renewable energy company exclusively focused on the development, financing, construction, ownership and operation of utility-scale renewable energy projects in the United States. Based in Boston, First Wind is operating or building renewable energy projects across the country, with combined capacity of nearly 1,300 megawatts (MW) – enough to power more than 375,000 homes each year. For more information on First Wind, please visit www.firstwind.com or follow us on Twitter @FirstWind.
Wednesday, January 07, 2015
Cape Wind Dealt Setback As 2 Utilities End Power Contracts
Two major utilities on Tuesday evening terminated their contracts to
buy power from Cape Wind, the long-debated proposed wind farm in
Nantucket Sound, saying project managers had missed a crucial deadline.
National Grid and NStar, a subsidiary of Northeast Utilities, say Cape Wind missed the Dec. 31, 2014, deadline contained in the contracts to obtain financing and begin construction, and had chosen not to put up financial collateral to extend the deadline.
NStar had agreed to buy 27.5 percent of Cape Wind’s power. National Grid had signed on to purchase 50 percent.
Cape Wind has proposed a $2.5 billion, 130-turbine offshore wind farm off of Cape Cod. If built, it would be the first offshore wind farm in U.S. waters.
“The deadlines Cape Wind has missed were contractually agreed-upon by both companies,” a Northeast Utilities spokeswoman said in a statement late Tuesday. She added: “We remain committed to meeting the commonwealth’s clean energy goals through competitively bid contracts while also keeping prices down on behalf of our customers.”
A National Grid spokesman said in a statement the utility is “disappointed that Cape Wind has been unable to meet its commitments.” He added: “We will continue to pursue other renewable options, including solar, competitively priced on- and off-shore wind, and other technologies as they become available.”
Mark Rodgers, a Cape Wind spokesman, said in an email that the developer does not “regard these [power contract] terminations as valid” because of provisions in the contracts that extend deadlines, including protracted litigation.
Cape Wind cited “extended, unprecedented and relentless litigation by the Alliance to Protect Nantucket Sound that prevents Cape Wind from achieving the [project’s] remaining critical milestones.”
Audra Parker, president and CEO of the alliance, said in a statement that the “decision by NSTAR and National Grid to end their contracts with Cape Wind is a fatal or near-fatal blow to this expensive and outdated project.”
She added: “It’s very bad news for Cape Wind, but very good news for Massachusetts ratepayers who will save billions of dollars in electric bills.”
Without buyers for its power, Cape Wind’s ability to secure financing needed for the project would become all but impossible.
Ian Bowles, who as Gov. Deval Patrick’s first energy and environment chief helped shepherd the offshore project, said the project may be dead.
“Presumably, this means that the project doesn’t go forward,” he told The Boston Globe.
Patrick, a strong supporter of the project, issued a brief statement Wednesday that did not refer directly to Cape Wind, but expressed confidence in offshore wind energy.
“The future of off-shore wind in the Commonwealth remains bright, as does the path for the marine commerce terminal in New Bedford,” said Patrick, who leaves office Thursday.
Cape Wind signed a lease agreement with the state in September to use New Bedford for staging and construction of the project.
Matthew Beaton, who is the energy secretary-designate of Gov.-elect Charlie Baker, told WBUR the utilities’ decisions will not affect other renewable energy projects.
“As we go into the new administration, we’re going to look at every form of renewable energy
electricity and weigh them on their merits and on their effectiveness to generate electricity at a reasonable price,” he said.
Source
National Grid and NStar, a subsidiary of Northeast Utilities, say Cape Wind missed the Dec. 31, 2014, deadline contained in the contracts to obtain financing and begin construction, and had chosen not to put up financial collateral to extend the deadline.
NStar had agreed to buy 27.5 percent of Cape Wind’s power. National Grid had signed on to purchase 50 percent.
Cape Wind has proposed a $2.5 billion, 130-turbine offshore wind farm off of Cape Cod. If built, it would be the first offshore wind farm in U.S. waters.
“The deadlines Cape Wind has missed were contractually agreed-upon by both companies,” a Northeast Utilities spokeswoman said in a statement late Tuesday. She added: “We remain committed to meeting the commonwealth’s clean energy goals through competitively bid contracts while also keeping prices down on behalf of our customers.”
A National Grid spokesman said in a statement the utility is “disappointed that Cape Wind has been unable to meet its commitments.” He added: “We will continue to pursue other renewable options, including solar, competitively priced on- and off-shore wind, and other technologies as they become available.”
Mark Rodgers, a Cape Wind spokesman, said in an email that the developer does not “regard these [power contract] terminations as valid” because of provisions in the contracts that extend deadlines, including protracted litigation.
Cape Wind cited “extended, unprecedented and relentless litigation by the Alliance to Protect Nantucket Sound that prevents Cape Wind from achieving the [project’s] remaining critical milestones.”
Audra Parker, president and CEO of the alliance, said in a statement that the “decision by NSTAR and National Grid to end their contracts with Cape Wind is a fatal or near-fatal blow to this expensive and outdated project.”
She added: “It’s very bad news for Cape Wind, but very good news for Massachusetts ratepayers who will save billions of dollars in electric bills.”
Without buyers for its power, Cape Wind’s ability to secure financing needed for the project would become all but impossible.
Ian Bowles, who as Gov. Deval Patrick’s first energy and environment chief helped shepherd the offshore project, said the project may be dead.
“Presumably, this means that the project doesn’t go forward,” he told The Boston Globe.
Patrick, a strong supporter of the project, issued a brief statement Wednesday that did not refer directly to Cape Wind, but expressed confidence in offshore wind energy.
“The future of off-shore wind in the Commonwealth remains bright, as does the path for the marine commerce terminal in New Bedford,” said Patrick, who leaves office Thursday.
Cape Wind signed a lease agreement with the state in September to use New Bedford for staging and construction of the project.
Matthew Beaton, who is the energy secretary-designate of Gov.-elect Charlie Baker, told WBUR the utilities’ decisions will not affect other renewable energy projects.
“As we go into the new administration, we’re going to look at every form of renewable energy
electricity and weigh them on their merits and on their effectiveness to generate electricity at a reasonable price,” he said.
Source
Saturday, January 03, 2015
Congresswoman Chellie Pingree: Tax Breaks Critical for Wind Energy
That’s critical tax credits for things like wind energy developers and people in our state who just need to know what their investments in the future are going to look like," Pingree says, "and this uncertainty is just bad for the business."
Pingree says tax policy should be established for at least several years to allow businesses and individuals to plan.
Perhaps a reporter should ask Congresswoman Pingree about the following:
Chellie Pingree's husband, largest media owner and political campaign contributor in Maine, incubated D.E. Shaw (Half owner of First Wind), largest wind developer in Maine and New England
Saturday, December 13, 2014
Citizens' plea: End the wind PTC
The fight is on, again, over which tax credits will make the cut in this latest round of extender bills. The House of Representatives just passed HR 5771 which revives dozens of lapsed tax credits totaling $42 billion, including the controversial wind production tax credit (PTC) that expired last year. If approved by the Senate, HR 5771 will reinstate the 22-year old 'temporary' subsidy retroactively for 2014.
Wind proponents argue the 1-year extension is akin to no extension at all. They paint a dire economic picture of curtailed project development, lost jobs and the unraveling of an entire manufacturing sector. A failure to extend the PTC, they claim, will effectively impose an unfair tax on the industry in the form of higher wind prices. Those who oppose the credit are collectively dismissed as Koch-brother sympathizers, a narrative that has worked short term -- after all, it's easy to hate big oil. But the label is flatly false.
The Grassroots Speak
Leading up to the House vote, a grassroots network of thousands (and thousands!) of Americans nationwide quietly signed letters to Congress asking their representatives, and the leadership, to vote 'no' on any extension of the wind PTC. The signers, all regular, main street Americans impacted by the subsidy-driven push for more wind everywhere, hope their voices will be heard past the slick wind-marketing campaigns and paid mouthpieces with access.
They tell a different story as reflected in these excerpts from the letters sent:
Indiana: "Most of the [nearly 3000] Hoosiers who have signed this letter are directly threatened by the choice you will make. We live in the communities impacted by wind development. Many of our local elected officials have passed restrictive ordinances that effectively ban wind development due to the harms to our local economies, property values, health, wildlife and employment. The PTC encourages wind development in inappropriate places – it has fostered a generation of developers who are rewarded for siting turbines on every free acre that has transmission access, no matter who is in the way or how poor the wind resource."
Ohio: "The Production Tax Credit for wind “energy” serves only one purpose: tax avoidance. Wind is subprime power foisted upon rural communities by a predatory industry. Wind will not reduce the country’s carbon footprint. It will not power our factories. It is highly disruptive to the landscape we cherish. It is about tax avoidance – pure and simple. The burden of wind’s costs falls most heavily on those who can least afford to pay.... The signers of this letter are citizens –volunteers not funded by any organization. We are mothers and fathers. We are ratepayers and taxpayers. Unlike [Jonathan] Gruber’s acquiescent Americans, too dumb to understand the ACA, we understand wind energy. We understand it is little more than a dressed up bit of crony capitalism and support comes only at our expense. Speaker Boehner, please help to stop it. Don’t make us continue to pay for it. "
Texas: There is significant concern about the impact of wind energy subsidies on other sources of generation in Texas. ... Your active involvement in helping end the unjustifiable PTC for industrial wind energy is appreciated.
And for New Hampshire, Nebraska, Alabama and other states: "Renewing the PTC would cost billions that our nation simply cannot afford and the negative impacts on our communities, our scenic beauty and wildlife are significant."
Given the vigor in which proponents are pushing for another PTC extension, it's unrealistic to believe the wind industry can survive without the subsidy. Big wind grew up on the tax credit, developed market plans and forecasts that relied on it, and now the wind PTC appears to be a required component of the industry's economics. Warren Buffet recently reminded us that wind investment makes no sense without handouts from taxpayers.
The consequences back home of more federal subsidies for big wind are real. After more than two decades, it's time Congress learns what the public already knows and heeds the plea to pull the plug on this endless subsidy once and for all.
Linowes is executive director of the Windaction Group (windaction.org), an organization that opposes the wind power industry.
Thursday, December 11, 2014
First Wind Selling Majority Stake in Two Wind Farms to JPMorgan
First Wind Holdings Inc., the renewable-energy developer being acquired by SunEdison Inc. (SUNE), agreed to sell a majority stake in two wind farms to JPMorgan Chase & Co.
JPMorgan Asset Management is buying into the 105-megawatt Palouse wind farm in Washington and the 150-megawatt Route 66 project in Texas, Boston-based First Wind said today in a statement. The size of the stakes and the prices weren’t disclosed.
Construction on Route 66 is expected to be complete next year. Palouse has been producing electricity since 2012, helping power about 30,000 homes in eastern Washington. First Wind will continue to operate both power plants.
The deal “provides First Wind capital to continue our efforts to develop and build new clean energy projects,” the developer’s Chief Executive Officer Paul Gaynor said in the statement.
SunEdison and its power-plant holding company TerraForm Power Inc. announced plans Nov. 17 to pay $2.4 billion for First Wind. The deal is expected to close in the first quarter.
Wednesday, December 10, 2014
Sun Edison Buying First Wind Scam
Most people
know very little about the true economics in the solar and wind industry. Even
less understand the cryptic disclosures in an SEC filing of reports from FERC.
Yet the financial inventors are brilliant in concealing the simple business
model that is supposed to generate earning from real economic activity. Let’s be
generous and report on the public relations announcement, 5
Slides That Show Why SunEdison Bought First Wind. Reading such glowing
projections might attract investors into the SunEdison,
TerraForm Power Up Solar ETFs.
“SunEdison is among the largest holdings in
both the Guggenheim Solar ETFs (TAN ) and the Market Vectors Solar ETF (KWT ),
which climbed 5.1% and 3.8% respectively.
These two solar ETFs are alone in giving
meaningful weight to TerraForm, SunEdison’s partner
“yieldco” that went public in July, according to
research firm XTF.”
Are you
ready for some government and private sector newspeak? Note the following
appears on the website of NREL - a national laboratory of the U.S. Department of
Energy, Office of Energy Efficiency and Renewable Energy, operated by the
Alliance for Sustainable Energy, LLC. - A
Deeper Look into Yieldco Structuring.
“A yieldco is a dividend growth-oriented
public company, created by a parent company (e.g., SunEdison), that bundles
renewable and/or conventional long-term contracted operating assets in order to
generate predictable cash flows. Yieldcos allocate cash available for
distribution (CAFD) each year or quarter to shareholders in the form of
dividends. This investment can be attractive to shareholders because they can
expect low-risk returns (or yields) that are projected to increase over
time.”
Surely you
got that these “yieldco” are even better than derivatives,
RIGHT???
Before you
call your broker, review a recent edition of the BATR RealPolitik Newsletter on
the topic - Another
Green Energy Fraud. When Bloomberg announces that SunEdison,
TerraForm to Acquire First Wind for $2.4 Billion, they are not disclosing
the entire story.
“Expected to close in the first
quarter, the purchase will consist of a $1.9 billion upfront payment and $510
million dependent on First Wind completing backlog projects.
TerraForm will add 521 megawatts of First
Wind projects to its portfolio under the deal, with 1.6 gigawatts of projects
expected to be developed by SunEdison and dropped down into TerraForm in 2016
and 2017, the companies said in the statement.”
The sorted history of First
Wind strikes a record of questionable financial dealing, concealed debt
obligations, flipping LLC ownership and holding company discrepancies. It came
as no surprise that First Winds bizarre attempt to sell off their self
proclaimed core projects fell flat. A local Bangor Maine newspaper has taken the
lead on real investigative reporting. First
Wind sale means end of $333 million partnership with Emera is but one in a
series of damaging evidence on the shady business practices of First
Wind.
“Ending a partnership challenged twice
before state regulators and in court, Nova Scotia-based Emera has sold its
interest in a $333 million joint venture with First Wind, which was purchased
Monday by a Missouri-based renewable power developer.
Emera announced Monday that it has agreed to
sell its interest in Northeast Wind Partners back to First Wind for $223
million.
The deal would end a legal
challenge to that partnership, which Houlton Water Co. and a group representing
industrial power users argued violated the intent of New England’s deregulation
of its electricity market. But that money may be directed at other power
generation resources in the region after the completion of the larger deal
between First Wind and SunEdison subsidiary TerraForm Power.”
Ask yourself, why would a newly
capitalized company want to acquire a debt ridden albatross like First
Wind? When SunEdison
Spin-Off TerraForm Power Scores Hot IPO came to market, a smell of a Wall
Street bailout using another shell public company reeks. Since First Wind failed
in their own IPO
offering, just maybe a careful examination into the filings of these
companies is warranted.
“TerraForm Power Inc. (NASDAQ: TERP),
another spin-off from SunEdison Inc. (NYSE: SUNE), offered 20.1 million shares
and raised about $500 million in its IPO, valuing the company at around $2.4
billion. SunEdison will retain nearly 95% of the voting power in the company.
The IPO’s underwriters have a 30-day option on another 3 million
shares.”
Next review
the SECURITIES AND EXCHANGE COMMISSION Forum K-8 #001-36542 for TERRAFORM
POWER, INC. and check out the full company description on TERRAFORM
POWER, INC. (TERP) IPO.
Selling
shares of public companies to pension funds for eventual shorting from the house
accounts of underwriting firms is a favorite strategy that if caught, only gets
a slap on the wrist.
The lack of
disclosure of ALL the debt for projects that cannot even satisfy minimum
interest payments must less retiring the actual obligations, is indicative of an
industry that is based upon fraud and uncompetitive costs.
Wind
proponents want you to believe that Wind
Power Forecasting in U.S. Electricity Markets are based upon true figures of
literal production that goes into the grid for actual consumer use. Nothing
could be further from the truth. Sun Edison is no virgin to the mega corporation
ownership game. Having started in 1959 as the Monsanto Electronic Materials
Company, a business unit of Monsanto Company, their SEC
filing is a wealth of information on connections to the usual suspects
behind the renewable energy Wall Street schemes.
Renewal
Energy World explains, SunEdison
Launches Yieldco to Unearth, Leverage Solar Asset Values, and sure sounds
like a lot of financial trickery.
“Here's why SunEdison and the
rest of the industry is so keen to pursue
new finance options. Back in its 3Q13
financial results SunEdison calculated its current business model of
building and selling solar projects yields about $0.74/Watt -- but those assets'
true value could jump as high as $1.97/W if the company can find ways to
enumerate and apply various methods: lower the cost of capital, apply various
underwriting assumptions, and factor in residual value in power purchase
agreements. That's a startling 2.6× increase in potential value creation that
SunEdison thinks it can unlock, and creating a yieldco structure to attract
interest from the broader investor community is a big part of the
answer.”
Birds of a
feather flock together and care nothing about all the fowl kill is a bad deal
for investors and electric rate payers.
James Hall –
December 10, 2014
Wednesday, December 03, 2014
Even the Loony Left understands that the PTC extenders is a bad deal . . .
I just told the Senate Democrats to not cut any tax cuts that help big businesses, hurt working families, and expand the deficit paving the way for more devastating cuts.
I think you should too!
http://act.credoaction.com/sign/tax_deal?referring_akid=a168850851.6462683.aoPsS4&source=conf_email
I think you should too!
http://act.credoaction.com/sign/tax_deal?referring_akid=a168850851.6462683.aoPsS4&source=conf_email
Help knock the wind out of lobbyists. Tell Congress to #EndWindWelfare
http://bit.ly/11yXQNk pic.twitter.com/HW9AKwV7Un
http://thndr.it/1zARubo
“Help knock the wind out of lobbyists. Tell Congress to #EndWindWelfare http://bit.ly/11yXQNk pic.twitter.com/HW9AKwV7Un http://thndr.it/1zARubo”
It's that time of year again. Now that our Congressmen think they're safe from electoral consequences, wind industry lobbyists are aggressively pushing to revive their favorite subsidy, the wind production tax credit (PTC).
The PTC is a key part of President Obama and Majority Leader Reid's attack on affordable energy, from natural gas and coal to nuclear power - an attack that will prove costly for hard-working Americans. Our legislators need to know you oppose subsidies for special interests like industrialized wind.
Two more years of these wind subsidies would cost American families over $13.3 billion. If Big Wind gets its way and makes these subsidies permanent, that $13.3 billion will be coming out of your pockets for years to come.
Thursday, November 20, 2014
Tuesday, November 18, 2014
SunEdison, TerraForm to Acquire First Wind for $2.4 Billion
SunEdison Inc. (SUNE) and its power-plant holding company, TerraForm Power Inc. (TERP), agreed to buy closely held First Wind Holdings Inc. for $2.4 billion, expanding the types of renewable-energy projects it can develop.
The acquisition will give Maryland Heights, Missouri-based SunEdison a foothold in the U.S. wind market, the company said in a statement today. SunEdison now expects to install as much as 2.3 gigawatts of capacity next year, up from a range of 1.6 gigawatts to 1.8 gigawatts.
The addition of First Wind, based in Boston, is “transformative,” accellerating the companies’ “engine” for renewable project development, Ahmad Chatila, president and chief executive officer of SunEdison, said in an interview.
“The reason why we’re doing it is really it doubles our served available market,” Chatila said. “Now we have combined with the best team in wind.”
SunEdison, which won’t change its name to reflect the new strategy, hopes to capitalize on the growth opportunities in the global wind energy market. Wind power in the U.S., where First Wind’s project development has been located, is expected to grow 15 percent next year, according to Bloomberg New Energy Finance forecasts.
SunEdison’s shares rose as much as 6 percent in after-market trading.
The purchase, which is expected to close in the first quarter, will consist of a $1.9 billion upfront payment and $510 million dependent on First Wind completing backlog projects.
’Packaging Electrons’
TerraForm will add 521 megawatts of First Wind projects to its portfolio under the deal, with 1.6 gigawatts of projects expected to be developed by SunEdison and dropped down into TerraForm in 2016 and 2017, the companies said in the statement.
The transaction “checks all the boxes,” TerraForm Chief Executive Officer Carlos Domenech said in an interview. “What First Wind does for TerraForm is very much what SunEdison does on the solar side performing as a sponsor.”
TerraForm will add 4.6 gigawatts of installs between wind and solar by the end of 2017 after the deal, including the 3.1 gigawatts already planned with SunEdison.
“We are in the business of packaging electrons into long-term contracts,” Domenech said. “Wind is a great asset class and we see tremendous growth potential. For us this is a logical expansion into renewables.”
The company expects to look into acquiring other types of renewable energy projects, Domenech said, and is considering hydroelectric power, hybrid power systems and residential, commercial and industrial solar power assets.
Yieldco
TerraForm is a yieldco that went public in July. Yieldcos are an increasingly popular way to hold renewable energy assets. They let developers raise capital at lower costs by selling completed projects to their yieldcos and using the proceeds to fund new projects.
The purchase of First Wind is expected to be immediately accretive to TerraForm Power, delivering $72.5 million in unlevered cash available for distribution next year, according to the statement.
TerraForm raised its 2015 distribution guidance to $214 million and its dividend guidance to $1.30 a share, up 44 percent from its current 90-cent rate.
Bank of America Corp.’s Merrill Lynch acted as lead financial advisor to TerraForm in connection with the First Wind acquisition and lead structuring agent on the drop down warehouse credit facility. Goldman Sachs Group Inc. acted as exclusive financial advisor to First Wind.
To contact the reporter on this story: Tina Davis in New York at tinadavis@bloomberg.net
To contact the editors responsible for this story: Reed Landberg at landberg@bloomberg.net Iain Wilson, Keith Gosman
SunEdison, TerraForm to buy First Wind for $2.4 billion
Solar company SunEdison Inc. and unit TerraForm Power Inc. said they would buy First Wind for $2.4 billion to enter the U.S. wind power market.
SunEdison’s shares rose 6.6 percent to $17.70, while TerraForm shares rose 1.2 percent to $26.15 in after-market trading.
The deal comprises $1.9 billion in upfront payment and $510 million in earn-outs, the companies said.
Boston-based First Wind is operating or building renewable energy projects in the Northeast, the West and Hawaii, with a combined capacity of nearly 1,300 megawatts — enough to power more than 425,000 homes each year.
First Wind has been a major player in developing wind farms in Maine, with sites active and planned across northern, western and eastern Maine. It is a frequent target for environmentalists and regulators, and counts among its top executives a former high-ranking Baldacci administration official, Kurt Adams, who now sits on the University of Maine board of trustees.
The company is involved in at least six wind power projects in Maine.
SunEdison raised its 2015 installation forecast to 2.1-2.3 gigawatts from 1.6-1.8 gigawatts . TerraForm increased its 2015 dividend forecast to $1.30 per share from 90 cents.
TerraForm was created by SunEdison to own and operate its solar power plants. TerraForm went public in July.
The deal is expected to close during the first quarter of 2015, the companies said.
SunEdison’s share in the total consideration consists of an upfront payment of $1 billion and the earn-out portion.
TerraForm Power will acquire First Wind’s operating portfolio for an enterprise value of $862 million.
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