TerraForm Power Acquires 168 MW of Solar Power Plants From SunEdison

BETHESDA, Md., March 31, 2015 (GLOBE NEWSWIRE) -- TerraForm Power, Inc. (Nasdaq:TERP), a global owner and operator of clean energy power plants, today announced it acquired solar power plants comprising 168 MW from SunEdison, Inc. (NYSE:SUNE) during the first quarter of 2015. All of these power plants were on TerraForm Power's 3.4 GW call right list of SunEdison power plants which TerraForm Power has the option to purchase once completed.

The acquired portfolio includes US distributed generation power plants representing 15 MW and eleven utility-scale, ground mount plants in the UK comprising 153 MW. Together, the plants are expected to contribute $17 million in cash available for distribution ("CAFD") in 2015, and generate annualized unlevered CAFD of $24 million. Installation has been completed for all 168 MW in the portfolio.

The portfolio has high-quality counterparties including affiliates of EDF Energy and Statkraft in the UK, and municipalities, federal agencies, schools and commercial entities for the US distributed generation portfolio.

TerraForm Power has used its existing balance sheet liquidity to fund the acquisition of these call right power plants, and reiterates its 2015 guidance of $214 million of CAFD and dividends of $1.30 per share.

"This transaction furthers TerraForm Power's leadership in the US DG market segment – which is one of the most profitable and fastest growing clean energy market segments," said Carlos Domenech, President and Chief Executive Officer of TerraForm Power. "These drop downs demonstrate the continued strength of SunEdison's development platform and further diversify TerraForm's fleet of operating power plants."

Acquisition Highlights:

  • $17 million of expected CAFD contribution in 2015
  • $24 million of expected annualized unlevered CAFD
  • $110 million in cash consideration
  • $177 million of committed project debt from Santander and Bayern LB
  • >8% expected unlevered cash-on-cash return

About TerraForm

TerraForm is a renewable energy leader that is changing how energy is generated, distributed and owned. TerraForm creates value for its investors by owning and operating clean energy power plants. For more information about TerraForm, please visit: http://www.terraform.com.

About SunEdison

SunEdison is a global leader in transforming how energy is generated, distributed and owned. SunEdison manufactures solar technology and develops, finances, installs and operates distributed solar power plants, delivering predictably priced electricity and services to its residential, commercial, government and utility customers. SunEdison also provides 24/7 asset management, monitoring and reporting services for hundreds of solar systems worldwide via the company's Renewable Operation Center (ROC). SunEdison has offices in North America, Europe, Latin America, Africa, India and Asia. SunEdison's common stock is listed on the New York Stock Exchange under the symbol "SUNE." To learn more visit www.sunedison.com.

Forward-Looking Statements

This release contains "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including with respect to the expected CAFD contribution from the acquisitions and the expected increase in annualized CAFD, and typically can be identified by the use of words such as "expect," "estimate," "anticipate," "forecast," "intend," "project," "target," "plan," "believe" and similar terms and expressions. Forward-looking statements are based on current expectations and assumptions. Although TerraForm Power believes that their expectations and assumptions are reasonable, they can give no assurance that these expectations and assumptions will prove to have been correct, and actual results may vary materially. Factors that could cause actual results to differ materially from those set forth in the forward-looking statements include, among others: the failure of counterparties to fulfill their obligations under offtake agreements; price fluctuations, termination provisions and buyout provisions in offtake agreements; and the other risks and uncertainties included in TerraForm Power's filings with the Securities and Exchange Commission at www.sec.gov. TerraForm Power undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Cash Available for Distribution (CAFD)

CAFD is a supplemental non-GAAP measure of TerraForm Power's ability to earn and distribute cash to investors. This measurement is not recognized in accordance with GAAP and should not be viewed as an alternative to GAAP measures of performance, including net income, net cash provided by (used in) operating activities or any other liquidity measure determined in accordance with GAAP, nor is it indicative of funds available to fund our cash needs.

CONTACT: Media: Bruce Dunbar Finsbury for TerraForm Power bruce.dunbar@finsbury.com +1 (646) 805-2070 Investors/Analysts: Brett Prior TerraForm Power bprior@terraform.com +1 (650) 889-8628

Source:TerraForm Power, Inc.