American Electric has entered into an agreement to sell its 1,365 MW unregulated, contracted renewables portfolio to IRG Acquisition Holdings, a partnership owned by Invenergy, CDPQ and funds managed by Blackstone Infrastructure, at an enterprise value of $1.5B including project debt. The sale is expected to close in Q2. At the closing, AEP expects to net approximately $1.2B in cash after taxes, transaction fees and other customary adjustments. AEP plans to invest approximately $40B over the next five years in its regulated wires and generation business with a focus on adding 17,000 MW of new generation resources and more resilient, efficient transmission and distribution infrastructure to serve customers. The sale portfolio includes 14 projects, representing 1,200 MW of wind and 165 MW of solar in 11 states. The renewable power from the projects is contracted under long-term agreements with other utilities, corporations and municipalities.
Published first on TheFly
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