Algonquin acquires remaining stake in 400MW US wind power projects

Algonquin Power & Utilities (APUC) has acquired the remaining 40% stake in the 400MW wind power portfolio from Gamesa Wind US, for total consideration of around $115m.

The company had 60% controlling interest in the wind facilities, which was acquired from the partnership that includes APCo, Gamesa and certain tax equity investors.

With this acquisition, the company now owns 100% controlling interest in the projects.

The 400MW portfolio comprises three projects, which include a 200MW Minonk facility in Illinois, a 150MW Senate project in Texas and a 50MW Sandy Ridge wind power plant in Pennsylvania.

Since the commissioning of the projects from 2012, APUC is managing the wind power plants, as it is the majority stake holder in the facilities.

As part of the 20 year contract, Gamesa will continue to offer operations, warranty and maintenance services for the wind turbines and balance of plant facilities.

APUC CEO Ian Robertson said the investment in the full ownership of this portfolio of wind assets is expected to contribute accretive, low risk earnings and cash flow to the group with little additional overhead costs.

"We are very pleased to be the sole owner of these assets and we see tremendous opportunity to grow our portfolio by leveraging the expertise we have gained in the U.S. power markets in which these wind facilities operate," Robertson added.