TerraForm yieldcos delay quarterly results

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email

Both the TerraForm yieldcos have delayed their Q2 2016 results. It is the third successive quarter without financial filings by both TerraForm Power and TerraForm Global.

The bankruptcy of parent firm SunEdison was again a contributing factor. Previous results were held back owing to “material weaknesses” identified by SunEdison in its systems and procedures.

In near-identical notices to the NASDAQ stock exchange, the companies said: “We are continuing to assess whether matters related to SunEdison’s delay in its Form 10-K (including (a) SunEdison’s identification of material weaknesses and additional procedures necessary to complete its annual financial statements and related disclosures and (b) the publicly disclosed findings of the investigation by SunEdison’s independent directors and the related remedial plan) could affect our financial reporting and related internal controls.

“We are working to remediate these issues as promptly as practicable. Based on our work to date and in light of other factors, including the risk that SunEdison will be unable to complete the remedial actions related to its internal investigation, we expect that it will be necessary for the Company to implement additional controls and procedures and take other remedial actions before we finalize our financial statements and other disclosures for the year ended December 31, 2015.”

While not directly owned or managed by SunEdison, both yieldcos depend on the bankrupt developer as their sponsor via a management services agreement (MSA). Under the terms of that contract SunEdison provides a number of administrative and support services.

In the wake of April’s bankruptcy announcement, Terraform Power said it expected to continue working with SunEdison and said there was no identifiable risk to existing power purchase agreements (PPAs). It did warn that should the MSA be cancelled, the cost of replacing it would be “substantial”.

Read Next

January 24, 2022
More than 260 companies in the US clean energy sector are demanding urgent action on the US$1.75 trillion Build Back Better (BBB) Act, claiming that US$2 billion is being lost in economic activity every month the long-awaited bill is delayed.
January 24, 2022
The average cost of forecasting errors in the US is lower than previously thought at less than US$1/MWh, according to a study by Berkeley Lab that employed a new, publicly available method to examine the practice.
January 24, 2022
The year has gotten off to a frenetic start, with plenty of news from the global solar and energy storage sectors to digest on the January 2022 episode of the Solar Media Podcast.
January 21, 2022
Toronto-based renewables developer Amp Energy has closed on a US$350 million credit facility to advance on a global portfolio of renewables and battery energy storage assets.
January 21, 2022
US solar installer SunPower is to be hit by a cracking issue discovered in connectors associated with equipment installed in some commercial and industrial (C&I) projects, resulting in charges of around US$31 million.
January 20, 2022
Independent power producer (IPP) Cordelio Power has secured a 900MWac pipeline of solar projects in New York and Pennsylvania from project developer SunEast Renewables.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
January 26, 2022
Free Webinar
Solar Media Events
February 23, 2022
London, UK
Solar Media Events
March 8, 2022
London, UK
Solar Media Events
March 23, 2022
Austin, Texas, USA
Solar Media Events
March 29, 2022
Lisbon, Portugal