AES and AIMco to acquire sPower, the largest independent U.S. solar developer
The AES Corporation (AES) and Alberta Investment Management Corporation (AIMco) agreed recently to acquire FTP Power Solar, LLC (sPower), the largest independent owner, operator and developer of utility scale solar, from Fir Tree Partners and its minority owners.
AES and AIMco will acquire sPower for $853 million in cash, as well as the assumption of $724 million in non-recourse debt. AES and AIMCo will each directly and independently purchase and own a little under 50 percent equity interests in sPower through the transaction.
“We are very pleased to acquire sPower, the largest independent solar developer in the United States,” said Andrés Gluski, AES president and chief executive officer. “sPower not only brings 1.3 GW of installed capacity with an average remaining contract life of more than 20 years, but a first class management and development team with a pipeline of more than 10 GW of projects.”
Headquartered in Salt Lake City, Utah, sPower operates or is constructing 1,274 megawatts (MW) of solar and wind projects across the United States. The company’s portfolio also includes a U.S. development pipeline of more than 10,000 MW.
“With the help of Fir Tree, we have experienced incredible growth over the last three years,” Ryan Creamer, chief executive officer of sPower, said. “We are excited to become part of the AES/AIMCo partnership and we are confident that it positions us to continue to grow, develop and maximize the platform that we have created.”
The transaction is expected to close by the third quarter of 2017 subject to approval by the Federal Energy Regulatory Commission, the Committee on Foreign Investment in the United States and the expiration or termination of any waiting period under the Hart-Scott-Rodino Act.
After closing, AES’ ownership of renewable energy projects in operation and under construction will grow from 8,278 MW to 9,552 MW, including hydro, wind, solar and energy storage.
