Algonquin Power and Utilities Corp. has announced plans for further investment in the U.S wind generation. The company signed an agreement recently with Gamesa Wind US, LLC to obtain the remaining 40 percent of the 400 megawatt wind power portfolio of the “Projects”. The Portfolio consists of three facilities which are located in Texas, Illinois and Pennsylvania. Although Gamesa will relinquish their 40 percent ownership, they have however secured a 20 year contract to for provision maintenance and warranty services for the wind turbines.
Since 2012 Algonquin Power and Utilities Corp has been the manager and owner of the Projects. Therefore, the company is not expecting to incur any additional management and administrative costs. The acquisition will be funded in accordance with the company’s targeted investment grade consolidated capital structure. It is expected that that the acquisition will be completed by early 2014 has soon as regulatory approvals have been obtained.