NextEra Energy Partners agrees to acquire 250MW wind energy center
The board of directors of the general partner of NextEra Energy Partners has reached an agreement with the partnership's sponsor, NextEra Energy Resources, to acquire the Golden West Wind Energy Center. The Golden West Wind Energy Center is an approximately 250-megawatt wind project in Colorado that entered service in October 2015 and sells 100 percent of its output under a 25-year power purchase agreement. The transaction, which is expected to close in early May of this year, "represents another step toward growing limited partner unit distributions in a manner consistent with the previously announced expectations of 12%-15% per year through at least 2022," the company said. The partnership expects to acquire the Golden West Wind Energy Center for a total consideration of approximately $238M, subject to working capital and other adjustments, plus the assumption of approximately $184M in liabilities related to tax equity financing. The purchase price for the transaction will be funded entirely through existing debt capacity and will be accretive to limited partner unitholders. The acquisition is expected to contribute adjusted EBITDA of approximately $53M-$63M and CAFD of approximately $22M-$27M, each on an annual run-rate basis as of Dec. 31, 2017.