Recurrent Energy has sold 10 Ontario solar farms totalling 108MW to two large investors.
Insurance firm MetLife and fund manager Fiera Axiom Infrastructure will take a 50% stake each in eight projects with a capacity of 86MW.
Fiera Axiom will also take a 100% stake in two additional plants with a combined capacity of 22MW.
All the projects are currently under construction and are eligible for Ontario’s feed-in tariff programme. Power will be sold to the Ontario Power Authority under a 20-year Power Purchase Agreement (PPA).
“We are continually seeking out opportunities that align with our strategy of investing in long-term projects that generate attractive returns,” said Jeetu Balchandani, director for MetLife Investments.
“We are particularly pleased when we find a project like this one that supports our strong commitment to sustainable ventures,” added Balchandani.
It is expected that the deals will close in early 2014 when the plants are expected to become operational.
“Fiera Axium and MetLife’s investment in solar-generated energy continues our track record of developing projects that appeal to the world’s most experienced energy investors,” said Arno Harris, chief executive officer of Recurrent Energy.
“With 20 solar photovoltaic programmes under construction in the region, Recurrent Energy is proud to help the province of Ontario realise its commitment to a clean energy future,” added Harris.
The debt facility for the deal was arranged by Sun Life Assurance Company of Canada and National Bank Financial.