A consortium led by Canadian infrastructure investor Fiera Axium Infrastructure has bought a minority stake in a 1,100 megawatt portfolio of eight operating wind farms in the United States. The interest was acquired for an undisclosed amount from Spain’s EDP Renewables (EDPR). Other investors in the consortium included affiliates of Swiss Life Asset Management AG and John Hancock Life Insurance Co. EDPR will continue to manage the assets. Last month, Fiera Axium led an investor group that agreed to buy Montreal Gateway Terminals from Morgan Stanley Infrastructure.
Consortium led by Fiera Axium Infrastructure acquires interest in a 1,100 MW U.S. wind portfolio from EDP Renewables
NEW YORK, NY, April 17, 2015 /PRNewswire/ – A consortium led by Fiera Axium Infrastructure Inc. (Fiera Axium) and composed of Fiera Axium Infrastructure U.S. L.P., Swiss Life Funds (Lux) Global Infrastructure Opportunities S.C.A., SICAV-SIF and John Hancock Life Insurance Company is pleased to announce it has acquired a minority ownership interest in a 1,100 MW portfolio of eight operating wind farms (Portfolio) located throughout the United States from EDP Renewables (EDPR).
The Portfolio, which is well diversified across power markets and turbine technologies, consists of assets located in seven states and is fully contracted under long-term power purchase agreements with a weighted average life of over 16 years. EDPR will retain a majority of the cash equity interests in the Portfolio and will continue to act as the manager of all of the assets.
The transaction follows Fiera Axium’s acquisition of a 49% ownership interest of Wheat Field, a 97 MW operating project in Oregon from EDPR in November 2013.
“The addition of a stable, yielding Portfolio of this caliber is an attractive development for our Limited Partners and a significant milestone for Fiera Axium as a core infrastructure investor in the United States. We are grateful to the exceptional management and operating teams at EDPR, and to our consortium members, lenders and counsel for working in such a collaborative fashion to execute the transaction,” said Paulo Arencibia, Vice President & Investment Director of Fiera Axium Infrastructure US Inc., manager of Fiera Axium Infrastructure US L.P.
“We are delighted to partner for the second time with EDPR, a world class firm, in the ownership and operation of renewable generation assets. We are also thrilled to be partnering with consortium members that share our long-term investment horizon for core infrastructure assets” said Stéphane Mailhot, President and COO of Fiera Axium Infrastructure US Inc.
In connection with the acquisition, Santander Bank N.A. and Prudential Capital Group have provided credit facilities to support the acquisition financing.
Norton Rose Fulbright US LLP acted as legal advisor to Fiera Axium’s consortium and Latham & Watkins LLP acted as legal advisor for the lenders.
About Fiera Axium Infrastructure Inc.: Fiera Axium is an independent portfolio management firm dedicated to generating long-term investment returns through investing in core infrastructure assets. Fiera Axium manages dedicated infrastructure funds having in excess of $1.2 billion in assets under management. Focus is placed on assets that are supported by robust market demand and under long-term contract with creditworthy counterparties. The firm combines the capabilities of a group of specialists with decades of combined experience acquiring, developing, financing, operating and managing infrastructure assets. For further information, please visit www.fieraaxium.com.
About Swiss Life Asset Management AG: Swiss Life Asset Management AG (“SLAM”) is the asset management arm of Swiss Life, a listed insurance company with approximately CHF150 billion of assets under management. SLAM is the investment advisor to an infrastructure fund – Swiss Life Funds (Lux) Global Infrastructure Opportunities SCA, SICAV-SIF, which has commitments of approximately €1.0 billion. It does direct infrastructure investments in North America and Europe.
About John Hancock Financial and Manulife: John Hancock Financial is a division of Manulife, a leading Canada-based financial services group with principal operations in Asia, Canada and the United States. Operating as Manulife in Canada and Asia, and primarily as John Hancock in the United States, our group of companies offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Assets under management by Manulife and its subsidiaries were C$691 billion (US$596 billion) as at December 31, 2014. Manulife Financial Corporation trades as ‘MFC’ on the TSX, NYSE and PSA, and under ‘945’ on the SEHK. Manulife can be found on the Internet at Manulife.com. The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers and administers a broad range of financial products, including life insurance, annuities, investments, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found at johnhancock.com.
SOURCE Fiera Axium Infrastructure
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