SunPower Corp has agreed to sell its 49% stake in the 102MW Henrietta solar farm in California’s San Luis Valley to 8point3 Energy Partners for $134m.
8point3 said the acquisition is expected to generate about $10.9m in annual cash distributions.
Southern Company owns the remaining 51% of the project, which has a 20-year power purchase agreement with Pacific Gas and Electric.
Henrietta is expected to start operating in October.
The transaction is subject to a financing condition and other customary closing conditions and is expected to close on or about 30 September, 8point3 said.
It expects to fund the acquisition through the combination of cash on hand, borrowings under its existing credit facility and the issuance of additional equity.
The acquisition would bring 8point3’s solar portfolio to 637MW.
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