NextEra Energy Partners closes buy of 664-MW US wind portfolio
Wind farm in Oklahoma. Author: U.S. Department of Agriculture. License: Creative Commons, Attribution 2.0 Generic
NextEra Energy Partners LP (NYSE:NEP) has completed the acquisition of four operational wind farms in the US, totalling 664 MW, from their sponsor NextEra Energy Resources LLC.
The renewable energy assets owner, part of NextEra Energy Inc (NYSE:NEE), has bought the 62.4-MW Ashtabula Wind III and 102.4-MW Baldwin wind farms in North Dakota along with the 198.9-MW Mammoth Plains facility in Oklahoma and the 300-MW Stateline plant on the border of Washington and Oregon.
The acquisition of the four wind parks expands NextEra Energy Partners' clean energy project portfolio to about 1,923 MW. The company has paid for the transactions using proceeds from a new USD-109-million private placement of common units and a recent USD-313-million term loan plus cash on hand.
NextEra Energy Partners estimates that these asset purchases will add between USD 40 million and USD 50 million to 2015 adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) and between USD 15 million and USD 20 million to cash available for distribution (CAFD). They are also seen to raise the annual run-rate of adjusted EBITDA by USD 75 million to USD 85 million and of CAFD by USD 28 million to USD 32 million.