Toronto-based Renewable Energy Developers Inc. (TSX: RDZ) (TSX: RDZ.DB), a developer, owner and operator of renewable energy projects, has acquired four Ontario wind projects, representing gross capacity of 50 megawatts, from Ottawa’s Wind Works Power Corp. The company and a financial partner provided secured loans to the projects in 2012 and are expected to share ownership once they are completed. Last month, Renewable Energy Developers agreed to be bought by Capstone Infrastructure Corp. for approximately $70 million in cash and stock.
Renewable Energy Developers Inc. Completes the Acquisition of 50 MW of Ontario Contracted Wind Projects
TORONTO, Aug. 20, 2013 /CNW/ – Renewable Energy Developers Inc. (TSX: RDZ) (TSX: RDZ.DB) (“ReD” or “the Company”), a developer, owner and operator of renewable energy projects, is pleased to announce the closing of the acquisition by affiliates of ReD of four contracted Ontario wind projects (the “Projects”), representing gross capacity of 50 megawatts (“MW”) from affiliates of Wind Works Power Corp. (“WWPC”).
ReD and its financial partner provided secured loans to the Projects during 2012. ReD has co-developed the Projects for the past 14 months with WWPC and has submitted all projects for Renewable Energy Approvals in 2013. It is expected that ReD and its financial partner will each hold a 50% ownership interest in the Projects once they are completed and will equally fund the project construction costs in 2014.
“I am very pleased to complete this transaction and increase our contracted development pipeline of projects,” said Mr. Jeff Jenner, President and CEO of ReD. “With the strength of our financial partner and the proposed arrangement with Capstone Infrastructure, these development projects will be fully supported as they move into construction and operation.”
About Renewable Energy Developers Inc.
ReD is dedicated to the development, ownership and operation of renewable energy projects. Through project development efforts, acquisitions, partnerships and joint ventures, ReD provides its shareholders with income and growth from the renewable power generation sector of the energy industry. On July 3, 2013 the Company announced it had entered into a definitive agreement with Capstone Infrastructure Corporation (TSX: CSE; CSE.PR.A; CSE.DB.A – “Capstone”) whereby Capstone will acquire all the outstanding shares of ReD by way of a share exchange, which will result in a larger infrastructure company with power generation facilities across Canada totalling approximately net 465 megawatts of installed capacity, an attractive pipeline of contracted development opportunities in Canada representing net 79 MW of capacity, and international investments in regulated water and district heating businesses.
Certain information contained in this press release may constitute “forward-looking information” which reflects the current expectations of ReD. This information reflects ReD’s current beliefs with respect to future events and is based on information currently available to management. Forward-looking information involves significant known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking information including, without limitation, the ability of the parties to settle on definitive agreements and meet conditions precedent, the regulatory environment for developing renewable generation in Ontario as well the risks listed under the heading “Risk Factors” in the Company’s Revised Annual Information Form dated April 2, 2013. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information contained in this release. Although forward-looking information contained in this release is based upon what ReD Power believes to be reasonable assumptions, management cannot assure investors that actual results, performance or achievements will be consistent with this forward-looking information. The forward-looking information is made as of the date of this release and ReD does not assume any obligation to update or revise it to reflect new events or circumstances, except as required by law.
SOURCE Renewable Energy Developers Inc.
For further information:
Jeff Jenner, CA, CBV
President and Chief Executive Officer
Renewable Energy Developers Inc.
(647) 476 7580
(416) 815 0700 ext. 238
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