NextEra Energy has entered into an agreement to sell a 50% non-controlling interest in a 2520MW portfolio of long-term contracted renewables assets.
The agreement is with the Ontario Teachers’ Pension Plan Board, one of the world’s largest pension plans and infrastructure investors.
The sale proceeds are expected to be redeployed into new wind, solar and battery storage opportunities, including NextEra Energy Resources’ more than 18,000MW renewables and storage backlog.
Over the operating life of the assets in the portfolio, NextEra Energy Resources is also expected to receive ongoing annual fee income of approximately $16m in year one and escalating thereafter for operations, maintenance and management services.
The remaining 50% interest in the portfolio is under an agreement to be sold by NextEra Energy Resources to NextEra Energy Partners.
Jim Robo, NextEra Energy chairman and CEO, said: “In addition to generating attractive ongoing fee income, the sale of 50% of the portfolio to NextEra Energy Partners and 50% to a high-quality partner like Ontario Teachers’ provides an opportunity to take advantage of the robust demand for high-quality, long-term contracted renewable energy assets and efficiently recycle nearly $3.4bn in total capital that is expected to be redeployed into new renewables growth opportunities.”