Pattern Energy Group Inc. (NASDAQ:PEGI) (TSX: PEGI) today announced the acquisition of a 35 megawatt owned interest in the Stillwater Wind facility from Pattern Energy Group 2 LP. Stillwater commenced commercial operations in late October and is located in Stillwater County, Montana.

Transaction Highlights

• The cash purchase price for Pattern Energy’s 35 MW owned interest in Stillwater is approximately $23 million, which represents less than a 10x multiple of the five-year average cash available for distribution¹ (“CAFD”)
• First acquisition of an identified right of first offer (“iROFO”) project from Pattern Development 2.0
• Increases Pattern Energy’s operating portfolio to nearly 4 gigawatts (“GW”) of gross capacity, with more than 2.8 GW of owned capacity, across 24 projects, excluding the project it has agreed to sell

Pattern Energy acquired 51% of the class B interests in Stillwater for a total cash consideration of approximately $23 million, which represents a CAFD multiple of less than 10x of the five-year average CAFD¹, and was funded using available liquidity. The Public Sector Pension Investment Board acquired 49% of the class B interests in Stillwater. Pattern Energy will operate the facility.

“This accretive acquisition is another proof point of our ability to execute our growth strategy and increase our CAFD without relying on issuing common equity,” said Mike Garland, CEO of Pattern Energy. “Stillwater is the first of two projects from our iROFO list in Montana, a robust wind resource region, and the fourth project we have executed under the joint venture arrangements with PSP Investments. It is also the first acquisition we have made directly from Pattern Development 2.0, providing meaningful benefits to the business through our 29% ownership interest in Pattern Development 2.0.”  

Stillwater has a 25-year power purchase agreement for 100% of the energy produced. Stillwater is utilizing a total of 31 Siemens Gamesa wind turbines comprised of five 2.3 MW turbines with 108 meter rotors and 26 2.625 MW turbines with 120 meter rotors. During each year of operations, the 80 MW facility will generate energy equal to the needs of more than 23,000 Montana homes.

About Pattern Energy

Pattern Energy Group Inc. is an independent power company listed on the Nasdaq Global Select Market and Toronto Stock Exchange. Pattern Energy has a portfolio of 24 wind and solar power facilities, which excludes the one facility it has agreed to sell, with a total owned interest of 2,806 MW in the United States, Canada and Japan that use proven, best-in-class technology. Pattern Energy’s wind and solar power facilities generate stable long-term cash flows in attractive markets and provide a solid foundation for the continued growth of the business.