Canadian Solar Inc. has closed on the acquisition of three operating solar projects totalling 59.8 megawatts of capacity from KKR for US$203.7 million. The company also closed a US$50 million loan with Credit Suisse that is related to the purchase . Credit Suisse also acted as sole financial advisor on the transaction.
The projects are located in Sault Ste. Marie, Ontario and hold long-term fixed-price contracts established under the Renewable Energy Standard Offer Program. Canadian Solar will act as the owner and operator of the projects, which have been connected to the grid from October 2010 to November 2011. In addition, term financing will be provided by Norddeutsche Landesbank Girozentrale, New York Branch and KfW-IPEX Bank, assumed as part of the acquisition.
“These projects will help round out our Canadian portfolio and are part of our strategy to own and operate projects,” said Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar. “This acquisition demonstrates Canadian Solar’s ongoing investment and dedication to solar, as well as staying true to our strategy. We look forward to future transactions with KKR in North America.”