- Signing of a long-term partnership agreement between Innergex
and Crédit Agricole Assurances regarding Innergex's assets and
development portfolio in France
- Funding commitments from the partners to accelerate the
development of wind and solar projects in France
- The transaction is expected to close in the second half of
2023
LONGUEUIL, QC, Aug. 7, 2023
/CNW/ - Innergex Renewable Energy Inc. (TSX: INE) ("Innergex" or
the "Corporation") is pleased to announce the signature of an
agreement to form a long-term partnership with Crédit Agricole
Assurances, in connection with Crédit Agricole Centre-Est, for a
30% minority interest in Innergex's portfolio in France, representing a €128.0 million
(CAN$188.4 million) investment, subject to customary closing
adjustments. The proceeds will be used to immediately reduce
Innergex's revolving credit facilities at closing and to fund the
Corporation's development activities over the coming years.
The long-term co-investment agreement with France's leading insurer will support
Innergex's development strategy and growth in France by providing additional equity
commitment for the development and financing of ongoing projects at
various stages of development.
Michel Letellier, President and
Chief Executive Officer of Innergex, said: "This long-term
partnership agreement is a show of confidence by a well-reputed and
financially sound French partner like Crédit Agricole Assurances in
the quality of our existing assets, our development activities and
strategy in France, and the
quality and expertise of our development team. As the
new renewable energy bill adopted by the French Parliament
promises to accelerate renewable energy development, this long-term
partnership provides Innergex with additional financial flexibility
to continue and accelerate our greenfield development activities of
wind and solar projects in the years ahead.''
Philippe Dumont, CEO of Crédit
Agricole Assurances, said: "We're proud to announce this new
partnership in favour of the energy transition. This investment in
Innergex France, a high-potential French renewable platform and a
subsidiary of a leading pure play renewable group with a proven
track record, is fully in line with Crédit Agricole Group's climate
commitments. This operation will also contribute to Crédit Agricole
Assurances' objectives to increase its investments in renewable
energies and reach a 14 GW installed capacity by 2025."
Transaction highlights
- Investment of €128.0 million (CAN$188.4 million) by Crédit
Agricole Assurances
- 17 operating assets totalling 324 MW of wind energy and 9 MW /
9 MWh of storage capacity, as well as a large portfolio of projects
at various stages of development
- Existing energy production of 691 GWh per year
- Revenues of €73.8 million (CAN$108.6 million) over the twelve
months period ended on
March 31, 2023
- Operating, general and administrative expenses reached €29.7
million (CAN$43.7 million) over the twelve months period ended on
March 31, 2023
- Enterprise value of Innergex France estimated at €710.1 million
(CAN$1,044.8 million) including €22.2 million (CAN$32.7 million) of
cash on hand
- Innergex's team will continue to lead the management of the
entire value chain from development to construction and
operation
- Cash proceeds to reduce Innergex's revolving credit facilities
and fund the Corporation's development activities over the coming
years
Approvals and Timeline
The transaction is expected to close in the second half of 2023
and is subject to customary closing conditions.
About Crédit Agricole
Assurances
Crédit Agricole Assurances, France's largest insurance Group, unites
together Crédit Agricole's insurance subsidiaries. The Group offers
a range of savings, retirement, health, personal protection and
property insurance products and services. They are distributed by
the Crédit Agricole's banks in France and in nine other countries around the
world by financial advisers and multi-line insurance agents. The
Crédit Agricole Assurances companies serve individuals,
professionals, farmers and businesses. Crédit Agricole Assurances
has 5,700 employees. Its premium income at the end of 2022 amounted
to €35.3 billion (IFRS).
About Innergex Renewable Energy
Inc.
For over 30 years, Innergex has believed in a world where
abundant renewable energy promotes healthier communities and
creates shared prosperity. As an independent renewable power
producer which develops, acquires, owns and operates hydroelectric
facilities, wind farms, solar farms and energy storage facilities,
Innergex is convinced that generating power from renewable sources
will lead the way to a better world. Innergex conducts operations
in Canada, the United States, France and Chile and manages a large portfolio of
high-quality assets currently consisting of interests in 87
operating facilities with an aggregate net installed capacity of
3,692 MW (gross 4,243 MW) and an energy storage capacity of 159
MWh, including 40 hydroelectric facilities, 35 wind
facilities, 11 solar facilities and 1 battery energy storage
facility. Innergex also holds interests in 13 projects under
development with a net installed capacity of 760 MW (gross 849 MW)
and an energy storage capacity of 605 MWh, 5 of which are under
construction, as well as prospective projects at different stages
of development with an aggregate gross installed capacity totalling
8,883 MW. Its approach to building shareholder value is to generate
sustainable cash flows, provide an attractive risk-adjusted return
on invested capital and to distribute a stable dividend.
Cautionary Statement Regarding
Forward-Looking Information
To inform readers of the Corporation's future prospects, this
press release contains forward-looking information within the
meaning of applicable securities laws ("Forward-Looking
Information"), including the Corporation's growth targets, power
production, prospective projects, successful development,
construction and financing (including tax equity funding) of the
projects under construction and the advanced-stage prospective
projects, sources and impact of funding, project acquisitions,
execution of non-recourse project-level financing (including the
timing and amount thereof), and strategic, operational and
financial benefits and accretion expected to result from such
acquisitions, business strategy, future development and growth
prospects (including expected growth opportunities under the
Strategic Alliance with Hydro-Québec), business integration,
governance, business outlook, objectives, plans and strategic
priorities, and other statements that are not historical facts.
Forward-Looking Information can generally be identified by the use
of words such as "approximately", "may", "will", "could",
"believes", "expects", "intends", "should", "would", "plans",
"potential", "project", "anticipates", "estimates", "scheduled" or
"forecasts", or other comparable terms that state that certain
events will or will not occur. It represents the projections and
expectations of the Corporation relating to future events or
results as of the date of this press release.
Forward-Looking Information is based on certain key assumptions
made by the Corporation, including, without restriction, those
concerning wind regimes; performance of operating facilities, and
availability of capital resources.
www.innergex.com
www.ca-assurances.com
SOURCE Innergex Renewable Energy Inc.