TerraForm Global, a subsidiary of PV project developer SunEdison, has priced an underwritten initial public offering (IPO) of 45 million shares of its Class A common stock at US$15 per share, which represents US$675 million in gross proceeds.
Shares began trading on the NASDAQ Global Select Market on 31 July, under the symbol ‘GLBL’.
TerraForm has granted the underwriters a 30-day option to purchase up to a further 6.75 million shares at the original IPO price.
Furthermore TerraForm Global will also receive gross proceeds of US$67.5 million from the sale of shares of Class A common stock in connection with a concurrent private placement transaction at a price per share equal to the IPO price.
TerraForm intends to use the proceeds of the IPO and proceeds from the private placement transactions to acquire newly-issued Class A units of TerraForm Global, LLC (Global LLC).
Global LLC will use proceeds and cash on hand, combined with an $810 million senior unsecured notes offering of TerraForm Global Operating, LLC, to repay all outstanding indebtedness under its bridge facility, to pay pending acquisition consideration, repay project-level indebtedness, and general corporate purposes, which could include acquisitions of renewable energy assets from SunEdison or other unaffiliated third parties.