Brookfield Renewable Partners LP, along with its institutional partners, closed the acquisition of TerraForm Global Inc. for total net investment of $750 million, plus the assumption of about $792.2 million net debt.
Through the deal, Brookfield Asset Management Inc. affiliate acquired a 31% stake in TerraForm Global for a net investment of $230 million. The partnership funded the purchase from available liquidity. The acquisition is expected to contribute approximately $35 million of annual funds from operations to Brookfield Renewable on a run-rate basis.
TerraForm Global owns and operates a 952-MW portfolio of recently constructed, contracted solar and wind assets located predominantly in Brazil, India and, China. The yieldco's cash flows are underpinned by long-term contracts with an average remaining PPA term of 17 years, according to a Dec. 28 release.
TerraForm Global's class A common stock will be delisted from the Nasdaq Stock Market, with trading suspended as of close of business on Dec. 28, and its assets will be integrated into Brookfield Renewable's global renewable power portfolio.
Earlier this year, Brookfield agreed to acquire TerraForm Power Inc. and TerraForm Global, SunEdison-formed yieldcos, in two separate transactions with a combined enterprise value of approximately $7.9 billion. The company completed the acquisition of TerraForm Power in October, acquiring 51% of the yieldco's stakes.