First Wind sells half a 385MW portfolio for $211 million

UNITED STATES: First Wind has sold a 49% stake in a portfolio of its wind farms in the north-east US to Canadian firm Emera, parent company of Nova Scotia Power.

by John McKenna 19 June 2012

The portfolio comprises eight operational wind farms in three north-eastern states totalling 385MW installed capacity. Emera has paid $211 million for a 49% stake in a newly created joint venture called Northeast Wind Partners, which now owns the projects.

First Wind retains 51% of the JV and will serve as the managing partner, continuing to operate the projects. Emera affiliate Emera Energy Services will provide energy management services.

First Wind will exclusively manage the development business and continue to develop new wind projects in the north east. Once these projects meet certain eligibility criteria, First Wind has the ability to transfer up to an additional 1,200MW of new projects to the new JV.

In addition to paying $211 million for its equity stake, Emera is making a $150 million loan to an intermediate subsidiary company of Northeast Wind Partners, which will be repaid in five years. Emera will finance this transaction through existing credit facilities.