With a combined capacity of 1250 MW, Engie has acquired two US solar and storage projects from Revolve Renewable Power.
According to a share purchase agreement dated 10 January 2023, the sales of the 250MW Parker Solar and Storage Project and the 1000MW Bouse Solar and Storage Project, both in Arizona, were finalised.
The transaction includes a US$2 million (€1.86 million) down payment, which includes the recovery of development costs that were paid after the transaction was finished.
Each of the projects must successfully complete additional interconnection studies before Engie can issue a Notice To Proceed construction works to the appropriate EPC contractor. This is also a condition of receiving the remaining payment.
It also depends on the project’s commissioning date, which is the day on which it has been synchronised with the grid and is able to supply the entire installed capacity to the grid.
When new connectivity studies are published in 2023, the first of these milestones is anticipated to be reached.
Engie paid cash and had no debt when the deal was finalised, and it had 100% ownership in Revolve Renewable AZ LLC and Revolve Parker Solar LLC.
Engie will be in charge of all project-related expenses going forward as well as any other financial obligations.
A put option agreement was made as part of the deal, allowing Engie to sell the projects back to the company for a short time after receiving the findings of the subsequent interconnection studies that are expected for each project.
If Engie chooses to execute this put option, the business will repurchase the corresponding project and reimburse the French developer for all costs related to its development.
Steve Dalton, Revolve chief executive, said: “We are delighted to announce the sale of our Bouse and Parker solar & storage projects to Engie.”
“This is a significant transaction for the company and marks the sale of our first utility scale projects from our US development portfolio.”
“It successfully demonstrates our development approach as well as our strategy in working with experienced utility partners to deliver significant returns for our shareholders.”
“The transaction will also provide the company with additional resources to advance its remaining development portfolio, while also evaluating opportunities to add further greenfield project opportunities to its active development portfolio in the near term.”
“We look forward to continuing to supporting the team at Engie in developing the projects to a construction ready stage.”
We are a leading global infrastructure and renewables search & recruitment business. The stories we report are often announced before other news publications, thanks for following us. Please get in contact to discuss your hiring needs: email@example.com.