Canadian renewable energy company Northland Power has raised SS$281 million from a share sale and private placement to fund its wind power projects.
The company raised US$231 million from a public offering of its shares and a further US$50 million from a private placement of 3.12 million shares to a subsidiary of Northland Power Holdings Inc.
The proceeds will be used to fund its 85% stake in the 332-megawatt Nordsee 1 offshore wind project in the German North Sea and the 100-megawatt Grand Bend onshore wind project in Ontario.
The Nordsee 1 project is developed together with RWE. Northland Power had previously set a first quarter 2015 target to close the financing of the US$1.3 billion project. The 54-turbine project is located 40 kilometres off the Germany coast. Nordsee Two and Nordsee Three, also acquired, are early stage development projects totalling approximately 670 MW. They will be developed over the next decade as offshore wind tariffs are extended and the grid infrastructure is made available.
The Grand Ben project is expected to be complete in 2016, and has 20-year power-purchase agreement with t he Ontario Power Authority.
