Boralex has completed the acquisition of an almost 200MW portfolio of wind farms in France and Scotland for C$103m.
The portfolio consists of the 51MW Moulins du Lohan ready-to-build project in Brittany in France, a 23.5MW advanced stage development in Scotland and 126MW of projects at the preliminary stages of development also in Scotland.
Construction of Moulins du Lohan is scheduled to start in the autumn, with commissioning slated for the second quarter of 2019.
Boralex said the total amount of investment required to complete Moulins du Lohan is estimated at C$142m.
The company said it will continue the study and development of the Scottish projects based on the regulatory framework prevailing in the country in the medium term.
The acquisition also includes land and Boralex will decide in the coming months about its potential sale.
“Should Boralex decide to do so, all of the real estate rights in favour of Boralex for the future development of wind power projects would be maintained,” it said.
The transaction was fully paid in cash using the company’s existing revolving credit facility and its cash resources.
Boralex added that it is also in advanced discussions with BNP Paribas regarding a 24-month bridge loan of nearly C$66m, which is expected to close by the end of September.
Legal advice to Boralex was provided by K&L Gates, while BNP Paribas Corporate Finance acted as exclusive M&A advisor.
Boralex president and chief executive Patrick Lemaire said: “With this acquisition, Boralex continues to expand in the French wind power market.
“The acquisition also demonstrates our willingness to explore new markets and we believe that Scotland, with its very advantageous wind conditions and a political environment generally favourable to renewable energy, including onshore wind power, offers attractive growth opportunities in the medium term.”
Image: Boralex
Boralex breaks into Scotland
200MW portfolio acquisition also includes ready-to-build project in France
By EBS