October 29 (Renewables Now) - Japan’s Mitsui & Co Ltd (TYO:8031) said today it has agreed to offload its 30% interest in a joint venture that owns 679 MW of installed wind and solar power capacity in Canada.
The Japanese trading firm will sell the shareholding in C2C Power LP to portfolio management firm Axium Infrastructure in a deal with an enterprise value of around CAD 1.9 billion (USD 1.46bn/EUR 1.31bn). It explained that the move is part of its business plan for the fiscal 2019/2020 that includes strategic asset recycling” initiatives aimed at enhancing its financial base.
C2C Power owns and operates 12 wind and solar power plants in Ontario, British Columbia and other Canadian provinces. Mitsui is taking part in its ownership through its investment company MIT Renewable Inc, while its partners are an affiliate of Axium and Engie Canada Inc, a subsidiary of Engie SA (EPA:ENGI).
The deal is pending regulatory clearance and will be effective following a process under existing shareholders’ agreement in relation to first refusal right. Those conditions for its closing are expected to be met by the end of March 2020.
(CAD 1.0 = USD 0.766/EUR 0.691)