SunEdison to Buy 33% Interest in Dominion Portfolio of Solar Assets

SunEdison Inc. agreed to acquire a 33% interest in a portfolio of solar assets from Dominion Resources Inc. for roughly $300 million, the latest in a recent string of deals between the companies.

Under the agreement, SunEdison also has an option to acquire the remaining stake in the portfolio, which includes 24 projects in California, Connecticut, Georgia, Indiana, Tennessee and Utah.

SunEdison and Dominion also agreed to a 50-50 joint venture to develop the Three Cedars solar project in Utah.

"Our focus is shifting from constructing contracted solar to constructing utility solar in Virginia, where we expect to develop 400 megawatts of generating capacity by 2020," said Dominion Chairman and Chief Executive Thomas F. Farrell II.

Separately, SunEdison and an investor group advised by a unit of J.P. Morgan Chase & Co. unveiled a strategic partnership that will fund renewable energy projects. This partnership, which will be majority owned by J.P. Morgan's clients, and may be expanded with the agreement of both partners, is initially expected to fund the purchase 33% interest in the solar portfolio.

The partnership with the J.P. Morgan clients aims to support added flexibility and long-term growth for both SunEdison and renewable-energy spinoff TerraForm Power Inc.

Write to Tess Stynes at [e-mail]

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(END) Dow Jones Newswires

September 08, 2015 09:25 ET (13:25 GMT)

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