Sky Solar Holdings and Greenleaf-TNX Management has announced the execution of the definitive agreements for the acquisition by Sky Solar’s wholly-owned U.S. subsidiary, Sky Capital America Inc., of 22 operating solar facilities in California and 1 operating solar facility in Massachusetts for a combined 22 MW from Greenleaf-TNX and SunPeak Universal Holdings.
The transaction is for a combined purchase price of approximately US$56.9 million, less the amount of existing financing on the facilities of approximately US$21.7 million.
The assets acquired have a remaining combined average power purchase agreement length of over 15 years.
The transaction is expected to close by the third quarter of 2016 after customary closing conditions, consents and regulatory approvals have been met.
Mr. Sanjay Shrestha, President of Sky Capital, commented:
“We are pleased with Sky Solar’s acquisition of operating assets in California and Massachusetts with attractive cash-on-cash yield over the life of the projects. This acquisition marks our first step towards building a larger presence in the US market.”
Mr. Charlie Fiechter and Thomas Yap, Managing Members of Greenleaf-TNX, said:
“We are pleased to partner with Sky Solar in this transaction. Greenleaf-TNX’s focus with this portfolio was to develop, de-risk through early period operation, then transfer solar assets to a high quality long-term operator. Therefore, we are very pleased to have reached agreement with Sky Solar related the sale of these solar assets.”