The assets include four wind farms, currently operating in Indiana, Wisconsin, Oklahoma and Ohio and a construction-stage solar farm
Canadian financial services firm Desjardins Group has announced the acquisition of a majority stake in a portfolio of US renewable power assets from EDP Renováveis (EDPR).
The Desjardins Group Pension Plan and Desjardins Financial Security have partnered with Connor, Clark & Lunn Infrastructure, to buy a stake in the wind farms and solar farm from EDPR.
EDPR has developed four wind farms, currently operating in the states of Indiana, Wisconsin, Oklahoma and Ohio, and one solar farm, currently under construction.
Once operational, the wind farms will collectively produce more than 560MW. Holding a minority stake, EDPR will continue to operate and manage the farms.
The transaction is subject to regulatory approval and is expected to be finalized by the end of the year.
Renewable energy facilities included in the deal are backed by long term PPAs
The renewable energy facilities are backed by long term power purchase agreements with electric cooperatives that serve sparsely populated rural areas, generating predictable and stable cash flow for the long term.
The assets included in the transaction are expected to contribute to Desjardins’s infrastructure targets, and will generate adequate clean energy to power 140,000 households.
The wind and solar facilities will expand Desjardins Group’s renewable energy asset portfolio, constituting wind farms, solar farms and hydroelectric power plants around the world, valued at more than $1.1bn.
The firm has first entered into the renewable energy sector in Asia with acquisition of a minority interest in a 376MW offshore wind farm, in August 2020.
Desjardins Group president and CEO Guy Cormier said: “Our latest investment in renewable energy is another great example of how Desjardins contributes to communities and supports sustainable prosperity, and how committed we are to green energy.
“We’re so proud of how our organization worked together through the pandemic to complete this transaction. Every sector is committed to speeding up the energy transition and the pace will only get faster from here.”