SunEdison May Call Off Acquisition of Indian Wind Energy IPP

Green Economy

Published on November 25th, 2015 | by Saurabh Mahapatra

November 25th, 2015 by Saurabh Mahapatra 

More Indian news outlets are now reporting the possibility that SunEdison will back out of its acquisition of Indian wind energy independent power producer Continuum Wind Energy.

Leading business daily Economic Times has reported that the US-based renewable energy project developer may not go ahead with the acquisition of Continuum Wind Energy, after SunEdison had announced earlier this year plans to acquire the wind energy company for an estimated $600 million.

The deal was termed as one of the most significant in terms of exhibiting global confidence in the Indian renewable energy market. Continuum’s acquisition would have given SunEdison control of over 400 MW of wind energy assets (operational as well as under construction) and, more significantly, a crucial footprint in the Indian wind energy market.

The likelihood of this deal not going ahead will, however, not be a reflection on the Indian renewable energy market but on SunEdison’s financial condition.

Last month, the company announced that it will lay off 15% of its workforce. SunEdison’s stock price at the New York Stock Exchange has plummeted from a high of $31.66 on 20 July to $3.00 on 20 November, while shares of its yieldco, Terraform Power have also plummeted from this year’s high of $42.66 to less than $10. The company reported a loss of $263 million for the second quarter following a spree of acquisitions around the world. In addition to acquiring several renewable energy assets, the company also reported record capacity of 1.9 GW under construction in its second quarter earnings report.

 
 
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Tags: Continuum Wind Energy, india, india wind energy, SunEdison, SunEdison India, SunEdison Wind Energy

About the Author

Saurabh Mahapatra A young solar enthusiast from India keeping an eye on all regulatory, policy and market updates from one of the fastest emerging solar power markets in the world.

SunEdison May Call Off Acquisition of Indian Wind Energy IPP

Vivint Solar (VSLR) to be Acquired by SunEdison for $2.2B - InvestorGuide.com

– Jay Hawk   PUBLISHED ON: Jul 20, 2015

Shares of Vivint Solar (VSLR) were trading up +4.24 or +38.97 percent to $15.12 per share in Monday’s premarket after news broke early this morning that the company would be acquired by SunEdison Inc. (SUNE) and its TerraForm Power Inc. (TERP) unit in a deal worth approximately $2.2 billion.

Vivint Solar stock closed at $10.88, down -0.01 or -0.09 percent in Friday’s regular trading session.

Launched in 2011 by parent company Vivint Inc., Lehi, Utah based Vivint solar is a U.S. solar energy company with operations in Arizona, California, Hawaii, Maryland, Massachusetts, New Jersey and New York, as well as the District of Colombia. The company designs, installs and provides maintenance for residential photovoltaic solar energy systems. Through a “power purchase agreement” the company installs solar panels to homes at no cost to the homeowner in exchange for the homeowner agreeing to purchase the power produced by the solar panels. The company also provides a lease agreement, which charges the customer monthly per kilowatt hour based on the amount of energy the system produces. Vivint Solar went public at $16 per share in 2014 and employs about 3,000 people.

Headquartered in both Belmont, California and Maryland Heights, Missouri, SunEdison is the world’s largest renewable energy company. Originally known as MEMC Electronic Materials the company was a former business unit of the Monsanto Company (MON) until its sale in 1989. SunEdison develops builds and operates solar and wind energy power plants. In addition, the company manufactures monocrystaline silicon ingots, silicon wafers, solar modules and solar energy systems.

In the announcement made early this morning, both companies signed a definitive merger agreement in which SunEdison will acquire Vivint Solar for a combination of cash, SunEdison convertible notes and SunEdison common stock. SunEdison will pay Vivint shareholders $9.89 in cash, $3.30 in SunEdison notes and $3.31 in SunEdison common stock. The deal works out to $16.50 per Vivint share, a +52 percent premium to Vivint stock’s closing price on Friday.

Vivint Solar’s Chief Executive Officer, Greg Butterfield noted in this morning’s press release that, “This transaction with SunEdison delivers to Vivint Solar’s stockholders excellent value for the business we have built over the last four years. SunEdison and TerraForm Power have built a unique model that recognizes the value of long-term, predictable, contracted cash flows from our residential solar portfolio while providing access to a broad pool of financing at an attractive cost of capital. We are excited to join the SunEdison residential and small commercial team which has successfully developed a wide range of channels complementing those at Vivint Solar, both in the U.S. and globally.”

As part of the deal, SunEdison entered into a definitive purchase agreement with a subsidiary of TerraForm Power, which upon the completion of the SunEdison acquisition of Vivint Solar, will acquire Vivint Solar’s rooftop solar portfolio for $922 million in cash. The portfolio consists of 523 megawatts that is expected to be installed by the end of this year.

Shareholders of both companies are showing their approval in this morning’s premarket, with both SunEdison stock and Vivint stock gaining significantly. Vivint stock is currently up almost 43 percent, while SunEdison stock is up over 4 percent.

Other News About VSLR

Vivint Solar Expands Its Operations To Two New States

Company will open new sales offices in Nevada and New Mexico.

Why Vivint Solar Inc’s Stock Got Crushed in June

Vivint stock was down over 22 percent last month.

Other Stocks in the News

Morgan Stanley beats estimates as trading revenue jumps

Company reported a better than expected second quarter profit this morning.

Amazon customers can now stream HBO Now

Amazon customers will now be able to stream “Game of Thrones” and “True Detective”.

Jay Hawk enjoyed a 12-year professional financial markets career incorporating extensive first hand futures and options experience obtained by trading in the stock, commodity and forex markets on U.S. exchanges. Since retiring as a full-time financial market professional, he has been actively trading stock, commodities, forex and options for his own account and managing funds for others, as well as writing financial market commentary and educational articles.

Copyrighted 2015. Content published with author’s permission.

Vivint Solar (VSLR) to be Acquired by SunEdison for $2.2B - InvestorGuide.com

SunEdison Improves Opportunities for At-Risk Schoolgirls in Dominican Republic

Endeavor Supports United Nation"s Initiative to Eradicate Energy Poverty 
 

BELMONT, Calif. and CABARETE, Dominican Republic, April 25, 2014 /PRNewswire/ — SunEdison (NYSE: SUNE), a leading provider of solar energy solutions and services, today dedicated a new solar power plant to the Mariposa Center for Girls in the Dominican Republic. The new plant provides reliable energy for the center which serves at-risk schoolgirls in support of the UN’s goals to increase energy access for all.

“We believe reliable energy is the foundation of sustainable development for all communities,” Steve O’Rourke, senior vice president and chief strategy officer for SunEdison said. “Electricity facilitates education, the delivery of healthcare services, and economic growth. We are proud to support the UN’s Sustainable Energy for All initiative in this and future endeavors to ensure all people have access to clean, affordable energy.”

The Mariposa Center for Girls is a non-profit foundation that works with at-risk schoolgirls, aged 8-18, to teach leadership skills and improve their prospects for the future. Currently the Center offers health and wellness care, academic tutoring, library and computer access, job and life skills training, and sports to the 100 schoolgirls in the Center.

“SunEdison’s support of the Mariposa Center hasn’t just electrified a facility, it’s helping to energize opportunity for at-risk schoolgirls,” said Richenda Van Leeuwen, executive director for Energy Access at the United Nations Foundation. “Providing energy for schools helps support education, enabling students to study at night, and supports better health and economic opportunities for women. This commitment by SunEdison is a great example of the work that can be done to support the United Nation’s Sustainable Energy for All initiative, especially in 2014, the first year of the UN Decade of Sustainable Energy for All which has a special focus on the links between energy, women and health.”

Until now the lack of reliable electricity has hindered the Center’s efforts to improve quality of life for the schoolgirls. SunEdison donated $10,000 in cash plus an in-kind donation of equipment to the Center. Through this donation, Mariposa Center for Girls received a 9.9 kW solar system. Local workers received on-the-job training and installed the system.

Richard Hansen, a pioneer in bringing solar energy to the Dominican Republic and advisor on this project, is connecting organizations to provide energy access to underserved communities: “Matching SunEdison to help the Mariposa Center for Girls was a natural fit,” said Hansen. “Having access to reliable and sustainable electricity will improve their quality of life. The Center and the girls will benefit from this program for years to come.”

“This project is not only an extension of our Eradication of Darkness program, but part of our ongoing effort to improve opportunities for women in the solar industry,” O’Rourke said. “In addition to the solar power plant we’ve donated solar equipment for use in education programs. We are privileged to help these young women succeed. ”

About SunEdison

SunEdison is a global leader in semiconductor and solar technology. SunEdison’s semiconductor business has been a pioneer in the design and development of silicon wafer technologies for over 50 years. With R&D and manufacturing facilities in the U.S., Europe and Asia, SunEdison enables the next generation of high performance semiconductor devices. SunEdison’s solar business develops, finances, installs and operates distributed power plants, delivering predictably priced solar energy and services for its commercial, government and utility customers. SunEdison’s common stock is listed on the New York Stock Exchange under the symbol “SUNE.” To learn more visit www.sunedison.com.

SOURCE SunEdison

/CONTACT: Press Contact: Dawn Brister, SunEdison, dbrister@sunedison.com, 650-453-5685; Investors/Analysts: Chris Chaney, SunEdison, cchaney@sunedison.com, (636) 474-5226

/Web site: http://www.sunedison.com

The Wall Street Journal news department was not involved in the creation of this content.

SunEdison Improves Opportunities for At-Risk Schoolgirls in Dominican Republic