SunEdison and TerraForm Power announced to acquire First Wind on November 17th, 2014, and the company confirms that it has successfully raised a total of USD$590 million fund for the acquisition.
SunEdison raised USD$190 million of proceeds through the secondary offering of SunEdison Semiconductor shares. As previously announced, the secondary offering of SunEdison Semiconductor shares was priced on January 14th, through which SunEdison sold approximately 12.9 million shares. In addition, SunEdison has secured a USD$400 million credit commitment from several SunEdison relationship financial institutions for a 24-month loan secured with a portion of SunEdison's shares in TerraForm Power. The USD$590 million in proceeds from these transactions will be used to fund the cash portion of the upfront consideration to purchase First Wind.
"These funds are a major step forward in our acquisition of First Wind," said Brian Wuebbels, Chief Financial Officer of SunEdison. "Our ability to secure this funding, while preserving the upside in value from our ownership in TerraForm Power, speaks to the strength of the growth platform we are creating."
On November 17, 2014, SunEdison and TerraForm Power announced that they had signed a definitive agreement to acquire First Wind for USD$2.4 billion, of which SunEdison's upfront portion of the consideration is approximately USD$1.0 billion, comprised of the previously announced USD$340 million seller convertible note and the remainder in cash. The acquisition is expected to close during the first quarter of 2015, subject to usual and customary conditions and regulatory approvals.