NEW YORK, Sept. 17, 2019 /PRNewswire/ -- Greenbacker Renewable Energy Company, LLC ("the Company") announced today that it has signed an agreement to acquire, subject to regulatory approval, a controlling interest in 42.5 MW Elk ("Elk") and 37.5 MW Bethel ("Hawkeye") operating wind energy facilities in Iowa from a leading global asset manager. The acquisition further demonstrates Greenbacker's growing capabilities in the US renewable energy sector as it acquires attractive green power projects with long-term power contracts in-place with utilities, municipalities and other corporate entities. The firm then operates the projects to provide steady current income as well as moderate capital appreciation for its investors, typically those in the Registered Investment Advisor ("RIA") and family office segments.
The Elk and Hawkeye projects have long-term power purchase agreements in place with the Central Iowa Power Cooperative, an A-rated energy provider that serves 300,000 residents and more than 13,000 commercial and industrial accounts in Iowa. The Elk and Hawkeye projects have 13 and 18 years, respectively, in length remaining on their contracts, and will generate stable cash flows for both facilities during that time.
Charles Wheeler, Co-CEO of Greenbacker Capital, said, "Greenbacker is thrilled to further build our presence in the wind energy sector as we continue to execute on our long-term objective of providing RIA and family office investors with investments in real-asset renewable energy projects that have the potential to generate strong, stable cash flows and solid capital appreciation. Greenbacker is committed to playing a key role in the ongoing growth of the renewable energy sector, and to enabling investors to participate in this trend. We look forward to partnering with the state of Iowa to help meet its ambitious clean energy goals in the years ahead."
The transaction further demonstrates Greenbacker's strong position as a secondary acquiror of operating power projects. The firm also invests in to-be-constructed renewable energy projects with executed long-term power supply contracts.
With the addition of the Elk and Hawkeye projects, Greenbacker will own approximately 519 MW of generating capacity (including assets that are to be constructed), comprising 172 MW of wind facilities, 335 MW of utility-scale and distributed solar facilities, and 12 MW of biomass facilities.
Mr. Wheeler concluded, "We consistently hear from RIAs and family offices that they are seeing a surge in interest for innovative investing strategies in the renewable energy space, driven by growing awareness among their investors' children and grandchildren of the importance of expanding green energy sources. As this transaction shows, we are entirely focused on building a diversified portfolio of renewable energy assets that will enable us to meet this demand for the benefit of current investors – and for the next generation."
Stoel Rives LLP was the legal advisor to Greenbacker on the transaction.
About Greenbacker
Greenbacker seeks to acquire and operate a diversified portfolio of income-producing sustainable infrastructure assets in North America. Founded in 2011, Greenbacker generates attractive risk-adjusted returns for its shareholders through harvesting long-term and predictable cash flows from proven technologies. As of August 31st, 2019, Greenbacker owns and operates (or is building) over 335 MW of PV Solar, 172 MW of Onshore Wind, and 12 MW of Biomass. For more information, please visit www.greenbackercapital.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. The Company undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in the Company's expectations.
MEDIA CONTACTS
Greenbacker:
Joseph Kuo / Chris Clemens
Haven Tower Group
(424) 317-4851 or (424) 317-4854
[email protected]
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SOURCE Greenbacker Renewable Energy Company, LLC