Innergex Renewable Energy acquires Alterra Power Corp. for C$1.1B
February 06, 2018
1.10 Billion CAD
On February 6, 2018, Innergex Renewable Energy Inc. ("Innergex") completed the acquisition of Alterra Power Corp. ("Alterra") by way of an arrangement agreement pursuant to which Innergex acquired all of the issued and outstanding common shares of Alterra for an aggregate consideration of C$1.1 billion, including the assumption of Alterra's debt. Alterra's shares were delisted from the Toronto Stock Exchange on February 7and Alterra ceased to be a reporting issuer under applicable Canadian securities laws.
With the acquisition, Innergex is now the largest independent renewable energy producer in British Columbia and among the largest in Canada. The acquisition will also enable Innergex to leverage Alterra's US development expertise and expand its presence in the US market, as well as Canada, Latin America and Europe. The acquisition also brings Innergex an extensive pipeline of prospective projects in preliminary stages or in progress, with an estimated net capacity of more than 5,000 MW.
Concurrently with the closing, Innergex successfully completed the financing of the cash portion of the acquisition with a $150 million subordinated unsecured 5-year term loan from la Caisse de dépôt et placement du Québec. Innergex’s revolving credit facilities have also been increased by $225 million to $700 million.
McCarthy Tétrault LLP advised Innergex with a team led by Philippe Fortier and Hadrien Montagne that included Marc Dorion, Patrick Boucher, Sven Milelli, Morgan Troke, Xin Gao, and Thomas Etienne (Corporate), Ryley Mennie (Labour & Employment), Cameron Whyte and Parisa Gerami (Real Property & Planning), Angelo Discepola (Tax), François Dupuis (Litigation), and Selina Lee-Andersen (Environmental). Richard O'Doherty advised Innergex on the financing of the acquisition.