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Northland Power completes sale of its La Lucha Solar Facility

Energy, Market News
TSX:NPI
04 July 2024 05:01 (EDT)
Wind turbines and solar panels at sunset

(Source: Northland Power Inc.)

Northland Power (TSX:NPI) has closed the transaction of its total ownership of the La Lucha solar facility in Durango, Mexico.

The Toronto-based company sold the facility to Cometa Energía, S.A. de C.V., wholly owned by Saavi Energía.

La Lucha is a 130-megawatt solar facility that achieved commercial operations in June 2023.

After taxes, transaction fees and other customary adjustments, Northland expects to receive around $205 million in cash. Besides the usual corporate purposes, proceeds will be initially used towards repayment of amounts drawn on the company’s revolving credit facility.

When the sale was initially announced back in March 2024, Northland’s president and chief executive officer, Mike Crawley said this was a recycling of assets from non-core markets to generate liquidity and simplify the company’s overall business towards operating in core markets.

Northland Power Inc. is a global power producer dedicated to helping the clean energy transition by producing electricity from clean, renewable resources.

Northland Power Inc. (TSX:NPI) last traded at C$23.37 per share.

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(Top image: Northland Power Inc.)


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