Pattern Energy Group (NASDAQ: PEGI) (TSX: PEG) has closed the previously announced acquisition of two operational wind facilities totaling 351 MW from Wind Capital Group LLC and its affiliates for a final purchase price of $242 million plus assumed net debt of $102 million.
The acquisition includes ownership interests in the 201-MW Post Rock Wind facility in Kansas, and the 150-MW Lost Creek Wind facility in Missouri. Pattern Energy said May 18 that it expects to maintain a total combined owned interest of 270 MW in these two facilities.
Post Rock Wind and Lost Creek Wind have been operational for an average of approximately four years. The Post Rock Wind facility in Kansas has a long-term contract with Westar, which has a BBB+ credit rating. The Lost Creek Wind facility in Missouri has a long-term contract with Associated Electric Cooperative, which has an AA credit rating. The average remaining life of the contracts is 16 years.
The acquisition of these two facilities expands Pattern Energy’s operations into two new U.S. states, Kansas and Missouri.
The Federal Energy Regulatory Commission on May 8 approved this purchase. Wind Capital is an affiliate of, and directly held by NTR plc, which is headquartered in Dublin, Ireland. NTR plc is an investor in renewable energy and waste management businesses.
Pattern Energy Group is an independent power company that has a portfolio of 16 wind power facilities, including one project it has agreed to acquire, with a total owned interest of 2,112 MW, in the United States, Canada and Chile. Pattern Energy’s wind power facilities generate stable long-term cash flows in attractive markets and provide a solid foundation for the continued growth of the business.