Fengate Capital Management announced June 3 that it has reached financial close on the acquisition of a 25% equity interest in San Juan Mesa Wind Project LLC, which is the owner of a 120-MW, fully-contracted operating wind farm located in New Mexico.
The San Juan Mesa acquisition is Fengate’s first investment in the United States.
“Fengate is very pleased to have reached financial close on this milestone transaction,” said George Theodoropoulos, Managing Director of Infrastructure for North America. “San Juan Mesa extends Fengate’s robust portfolio of renewable energy projects into the U.S. market.”
San Juan Mesa is located near Elida, New Mexico. The energy from the project is sold under a Power Purchase Agreement with Southwestern Public Service, a subsidiary of Xcel Energy (NYSE: XEL). An affiliate of NRG Energy (NYSE: NRG) is the majority owner and operations manager for the project.
Theodoropoulos added: “This investment provides stable, long-term cash flows for our investors and allows Fengate to establish a relationship with NRG, one of the largest wind farm operators in the United States.”
San Juan Mesa is the latest addition to Fengate’s international portfolio of power projects and its first investment in a wind project, further diversifying the firm’s infrastructure business. The firm’s renewable energy portfolio includes wind, solar, hydro and biomass projects in Canada, the United States and the United Kingdom.
Fengate Capital Management is a real asset investment firm that specializes in investment funds with a strategic focus on infrastructure, real estate and private equity. Since 2007, the firm has been recognized as one of “Canada’s Best Managed Companies.”