Brookfield Asset Management buys TerraForm Power shares
Solar array. Author: David Goehring. License: Creative Commons
Canada’s Brookfield Asset Management Inc (TSE:BAM.A) has built a 12.13% stake in TerraForm Power Inc (NASDAQ:TERP), one of SunEdison’s (OTCMKTS:SUNEQ) two renewables yieldcos.
Brookfield currently holds 11.1 million Class A common shares of TerraForm Power and is “making efforts” to purchase the shares beneficially owned by SunEdison. More specifically, in the past Brookfield had contacted representatives of both the yieldco and its parent regarding a potential acquisition of SunEdison’s interest in it, the firm said in a regulatory filing. It even made private proposals, but no specific offer is currently pending, it added.
The Canadian company views TerraForm Power’s stock as an attractive investment opportunity. It noted it is capable of providing the operating and financial sponsorship required by the yieldco.
Debt-laden SunEdison filed voluntary petitions for reorganisation under chapter 11 of the US Bankruptcy Code on April 21. The process does not concern its two yieldcos.