- Agreement to acquire remaining 30.45% minority interest in 16
wind facilities already owned by Innergex
- A CAN$96.4 million transaction to increase Innergex's net
installed capacity by 98.7 MW in France
- A new milestone to unlock the full value of our portfolio in
France in the context of rising
energy prices
LONGUEUIL, QC, Sept. 28,
2022 /CNW Telbec/ - Innergex Renewable Energy Inc.
(TSX: INE) ("Innergex" or the "Corporation") is pleased to announce
that it has entered into an agreement to acquire the remaining
30.45% minority interest in its wind portfolio of 16 assets in
France, of which Innergex
currently owns the majority interests, for a total consideration of
CAN$96.4 million.
"This transaction is part of a global strategy to capitalize on
rising energy prices and growing demand in the current energy
environment in France," said
Michel Letellier, President and
Chief Executive Officer of Innergex. "By increasing the scale of
our business and developing a stronger presence in France, it paves the way for future growth and
value creation in the country."
Description of the
assets
The table below outlines Innergex's wind portfolio of operating
facilities in France. Upon
completion of the acquisition, Innergex will have 100% ownership of
these assets.
Asset
Name
|
Gross Installed
Capacity (100%)
|
Commissioning
|
Power Purchase
Agreement Expiry
Date
|
Antoigné
|
8.0 MW
|
2010
|
2025 (new)
|
Beaumont
|
25.0 MW
|
2015
|
2030
|
Bois
d'Anchat
|
10.0 MW
|
2014
|
2029
|
Bois des
Cholletz
|
11.8 MW
|
2015
|
2030
|
Les
Renardières
|
21.0 MW
|
2017
|
2032
|
Longueval
|
10.0 MW
|
2009
|
2022
|
Montjean
|
12.0 MW
|
2016
|
2031
|
Plan Fleury
|
22.0 MW
|
2017
|
2032
|
Porcien
|
10.0 MW
|
2009
|
2025 (new)
|
Rougemont-1
|
36.1 MW
|
2017
|
2032
|
Rougemont-2
|
44.5 MW
|
2017
|
2032
|
Theil-Rabier
|
12.0 MW
|
2016
|
2031
|
Vaite
|
38.9 MW
|
2017
|
2032
|
Vallottes
|
12.0 MW
|
2010
|
2025 (new)
|
Yonne I
|
44.0 MW
|
2016
|
2031
|
Yonne II
|
6.9 MW
|
2021
|
2041
|
TOTAL
|
324.2
MW
|
|
|
The 16 assets, on a consolidated basis, are expected to generate
annual revenues of approximately €75.8 million
(CAN$100.0 million) in 2023, while operating, general and
administrative expenses are expected to reach €18.6 million
(CAN$24.5 million) during the same period. As of the date of this
press release, the total outstanding principal of the long-term
non-recourse loans on the portfolio totalled €312.6 million
(CAN$412.2 million), cash and cash equivalents totalled
approximately €39.5 million (CAN$52.0 million), and cash held in
reserves totalled approximately €7.7 million
(CAN$10.2 million).
This transaction follows previous announcements aimed at taking
full advantage of the current favourable energy price environment
in France. On April 29, 2022, Innergex entered into three power
purchase agreements for its Antoigné, Porcien and Vallottes wind
facilities to extend the contract period of the facilities to
December 31, 2025.
The total net purchase price of CAN$96.4 million will be
financed mainly from Innergex's revolving credit facilities, the
cash held in the portfolio's special purpose vehicles, and through
the potential partial monetization of the Euro/CAD foreign exchange
forward contracts outstanding, as detailed below:
(in thousands of
CAN$)
|
As at September 27,
2022
|
|
Notional
amounts
|
Estimated market
value
|
Foreign exchange
forwards amortizing until 2041, allowing conversion at
a fixed rate of CAD 1.7100/Euro
|
142,249
|
19,305
|
Foreign exchange
forwards amortizing until 2042, allowing conversion at
a fixed rate of CAD 1.7081/Euro
|
42,531
|
5,125
|
Foreign exchange
forwards amortizing until 2041, allowing conversion at
a fixed rate of CAD 1.6535/Euro
|
96,836
|
9,300
|
Foreign exchange
forwards amortizing until 2043, allowing conversion at
a fixed rate of CAD 1.7401/Euro
|
137,551
|
16,394
|
Foreign exchange
forwards amortizing until 2043, allowing conversion at
a fixed rate of CAD 1.7583/Euro
|
66,079
|
9,047
|
|
485,246
|
59,171
|
About Innergex Renewable Energy
Inc.
For over 30 years, Innergex has believed in a world where
abundant renewable energy promotes healthier communities and
creates shared prosperity. As an independent renewable power
producer which develops, acquires, owns and operates hydroelectric
facilities, wind farms, solar farms and energy storage facilities,
Innergex is convinced that generating power from renewable sources
will lead the way to a better world. Innergex conducts operations
in Canada, the United States, France and Chile and manages a large portfolio of
high-quality assets currently consisting of interests in 84
operating facilities with an aggregate net installed capacity of
3,582 MW (gross 4,184 MW) and an energy storage capacity of 159
MWh, including 40 hydroelectric facilities, 35 wind farms, 8
solar farms and 1 battery energy storage facility. Innergex also
holds interests in 13 projects under development, with a net
installed capacity of 731 MW (gross 768 MW) and an energy
storage capacity of 745 MWh, 3 of which are under construction, as
well as prospective projects at different stages of development
with an aggregate gross installed capacity totaling 7,495 MW. Its
approach to building shareholder value is to generate sustainable
cash flows, provide an attractive risk-adjusted return on invested
capital and to distribute a stable dividend.
Cautionary Statement Regarding
Forward-Looking Information
To inform readers of the Corporation's future prospects, this
press release contains forward-looking information within the
meaning of applicable securities laws ("Forward-Looking
Information"), including the Corporation's growth targets, power
production, sources and impact of funding, project acquisitions,
execution of non-recourse project-level financing (including the
timing and amount thereof), and strategic, operational and
financial benefits and accretion expected to result from such
acquisitions, business strategy, future development and growth
prospects, business integration, governance, business outlook,
objectives, plans and strategic priorities, and other statements
that are not historical facts. Forward-Looking Information can
generally be identified by the use of words such as
"approximately", "may", "will", "could", "believes", "expects",
"intends", "should", "would", "plans", "potential", "project",
"anticipates", "estimates", "scheduled" or "forecasts", or other
comparable terms that state that certain events will or will not
occur. It represents the projections and expectations of the
Corporation relating to future events or results as of the date of
this press release.
Forward-Looking Information includes future-oriented financial
information or financial outlook within the meaning of securities
laws, including information regarding the Corporation's targeted
production, the estimated targeted revenues and other statements
that are not historical facts. Such information is intended to
inform readers of the potential financial impact of expected
results, and of the potential financial impact of completed and
future acquisitions. Such information may not be appropriate for
other purposes.
Forward-Looking Information is based on certain key assumptions
made by the Corporation, including, without restriction, those
concerning hydrology, wind regimes and solar irradiation;
performance of operating facilities, acquisitions and commissioned
projects; project performance; availability of capital resources
and timely performance by third parties of contractual obligations;
favourable market conditions for share issuance to support growth
financing; favourable economic and financial market conditions; the
Corporation's success in developing and constructing new
facilities; successful renewal of PPAs; sufficient human resources
to deliver service and execute the capital plan; no significant
event occurring outside the ordinary course of business such as a
natural disaster, pandemic or other calamity; continued maintenance
of information technology infrastructure and no material breach of
cybersecurity.
For more information on the risks and uncertainties that may
cause actual results or performance to be materially different from
those expressed, implied or presented by the forward-looking
information or on the principal assumptions used to derive this
information, please refer to the "Forward-Looking Information"
section of the Corporation's most recent Management's Discussion
and Analysis.
SOURCE Innergex Renewable Energy Inc.