Brookfield Renewable Energy Partners L.P. has agreed to issue 10,250,000 limited partnership units on a bought deal basis, to a syndicate of underwriters at a price of $31.70 per L.P. unit, for gross proceeds of approximately US$325 million.
Brookfield Renewable has also granted the underwriters an over-allotment option, exercisable in whole or in part for a period of 30 days following closing of the Offering, to purchase up to an additional 1,537,500 L.P. units at the Offering Price to cover over-allotments, if any. If this option is exercised in full, the gross Offering size would increase to approximately $374 million.
Brookfield Renewable intends to use the net proceeds of the Offering to repay outstanding indebtedness and for general corporate purposes. The Offering is expected to close on or about June 10, 2014.
Brookfield Renewable Energy Partners operates one of the largest publicly-traded, pure-play renewable power platforms globally. Its portfolio is primarily hydroelectric and totals approximately 6,000 megawatts of installed capacity. Diversified across 71 river systems and 12 power markets in the United States, Canada and Brazil, the portfolio’s output is sold predominantly under long-term contracts and generates enough electricity from renewable resources to power more than three million homes on average each year. With a portfolio of high-quality assets and strong growth prospects, the business is positioned to generate stable, long-term cash flows supporting regular and growing cash distributions to shareholders.