TerraForm Power acquires 168 MW of solar power plants from SunEdison

Portfolio Consists of U.S. Distributed Generation Solar Power Plants and 11 Solar Power Plants in the UK

TerraForm Power, Inc. (Nasdaq:TERP), a global owner and operator of clean energy power plants, today announced it acquired solar power plants comprising 168 MW from SunEdison, Inc. (NYSE:SUNE) during the first quarter of 2015. All of these power plants were on TerraForm Power’s 3.4 GW call right list of SunEdison power plants which TerraForm Power has the option to purchase once completed.

The acquired portfolio includes US distributed generation power plants representing 15 MW and eleven utility-scale, ground mount plants in the UK comprising 153 MW. Together, the plants are expected to contribute $17 million in cash available for distribution in 2015, and generate annualized unlevered CAFD of $24 million. Installation has been completed for all 168 MW in the portfolio.

The portfolio has high-quality counterparties including affiliates of EDF Energy and Statkraft in the UK, and municipalities, federal agencies, schools and commercial entities for the US distributed generation portfolio.

TerraForm Power has used its existing balance sheet liquidity to fund the acquisition of these call right power plants, and reiterates its 2015 guidance of $214 million of CAFD and dividends of $1.30 per share.

“This transaction furthers TerraForm Power’s leadership in the US DG market segment – which is one of the most profitable and fastest growing clean energy market segments,” said Carlos Domenech, President and Chief Executive Officer of TerraForm Power. “These drop downs demonstrate the continued strength of SunEdison’s development platform and further diversify TerraForm’s fleet of operating power plants.”

Acquisition Highlights:

– $17 million of expected CAFD contribution in 2015
– $24 million of expected annualized unlevered CAFD
– $110 million in cash consideration
– $177 million of committed project debt from Santander and Bayern LB
– >8% expected unlevered cash-on-cash return

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