The Federal Energy Regulatory Commission on Jan. 21 okayed a Dec. 23 application from Central Antelope Dry Ranch C LLC (CADRC) for approval of the acquisition by SPW Solar Holdings 2 LLC (SPW2) of 100% of the membership interests in CADRC from sPower FinCo 2 LLC (FinCo 2).
CADRC also sought authorization for the transfer to JPM Capital Corp. (JPMCC) of the non-controlling, passive Class A Units in SPW2.
As a result of this transaction, SPW Solar Managing Member 2 LLC (SPWSMM2) and JPMCC will each acquire indirect interests in CADRC. SPWSMM2, as Managing Member and owner of 100% of the controlling Class B Units in SPW2, will have the right to control CADRC and the CADRC Project, a 20-MW solar photovoltaic facility, on a day-to-day basis. JPMCC, as owner of 100% of the non-controlling, passive Class A Units in SPW2, will have only limited rights with respect to the actions of SPW2 and CADRC.
CADRC is an exempt wholesale generator (EWG). The CADRC Project is located in the City of Lancaster, Los Angeles County, California, within the California Independent System Operator market. CADRC expects to begin generating test power from the CADRC Project in February 2016 and to achieve commercial operation in March 2016. CADRC has committed to sell the entire output from the project under a 20-year power purchase agreement with Southern California Edison.
CADRC states that it is currently a wholly owned subsidiary of FinCo 2, which is a wholly owned, indirect subsidiary of FTP Power LLC. FTP indirectly has the right to control CADRC and the CADRC Project on a day-to-day basis, and, after the closing of this transaction, FTP will continue to have control over CADRC due to its control over SPWSMM2.
JPMCC is an indirect, wholly owned subsidiary of JPMorgan Chase & Co.