TerraForm raises another $86 million for Ontario solar projects

The troubled yieldco has managed to raise additional capital for four solar projects in Canada, as the industry waits on word of its settlement with SunEdison and potential sale to Brookfield.

March 6, 2017 Christian Roselund

Image: TerraForm Power

The news released by TerraForm Power (NASDAQ: TERP) late last week is not exactly what the industry was expecting. Instead of any word regarding its settlement with SunEdison, which was due on Friday, the yieldco instead announced that it has raised an additional $86 million to finance four utility-scale solar projects totaling 60 MW in the Canadian province of Ontario.

TerraForm secured the cash through a 7-year non-recourse credit facility. This combined with a previous $90 million raised for the projects brings the total facility to $175 million, and the company intends to use any leftover cash to repay its corporate revolver.

The current state of TerraForm Power’s fleet is hard to judge, as the company has seen further delays filing its 2016 annual financial report. However, at at the end of Q3 the yieldco had just under 3 GW of operational assets, up from 1.9 GW a year prior, which brought in $178 million in revenue.

And while TerraForm reported cash available for distribution (CAFD) in Q3, the company still brought in a net loss despite not adding any new capacity during the quarter.

In addition to not filing any statement on its settlement with SunEdison, which was due last Friday, pv magazine is currently waiting on a decision regarding the company’s proposed acquisition by Canadian asset management company Brookfield. When a decision is made, you will read about it here first.

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