Allete wraps up USD-165.5m distributed solar acquisition

US energy company Allete Inc (NYSE:ALE) on Friday said it has completed its USD-165.5-million (EUR 152.1m) acquisition of distributed solar project developer New Energy Equity LLC.

The target has completed more than 250 projects in different parts of the US with a combined capacity of over 330 MW. It has a development pipeline of roughly 2 GW in 26 states, opening up new growth opportunities for Allete.

“We’ve been signaling our move into the solar industry for some time, and as we met with New Energy Equity’s leadership team we knew we had found the right company to position us well,” Allete head Bethany Owen said. “The team brings a depth of distributed and community solar expertise and experience to Allete, along with a proven track record of financial success.”

New Energy Equity has two wholly owned subsidiaries – Impact Power Solutions and Energy Support Services. It reported USD 20 million in earnings, before interest, tax, depreciation and amortisation (EBITDA) in 2021. The company will keep its full team, including management, as well as its Maryland headquarters and offices in Roseville, Minnesota, and Boulder, Colorado.

(USD 1 = EUR 0.919)

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