Rilland becomes ALTN’s largest individual operational Solar PV park and enjoys a 15-year government counterparty ‘Feed-in-Tariff’ (“FiT”) contract at fixed sales prices, in addition to a Power Purchase Agreement (“PPA”) with a local energy operator. The combined contracts provide long-term predictable positive cash flows to Alternus.
The acquisition of the Rilland park brings group contracted recurring revenues from operational parks to over $5.7 million annually, over twice the revenues set to be recorded for 2019. Once all currently owned projects become operational, annual recurring revenues are expected to be over $7.3 million from existing assets.
Vincent Browne, Alternus Energy’s chief executive officer, president and chairman, commented, “We are very pleased and excited to have completed this milestone acquisition that we originally announced during the summer. This transaction marks a significant milestone and inflection point for our company as we successfully expand into the Netherlands, the fourth European country we now have energy generation operations in, and also shows our ability to execute on acquisitions of larger parks as we continue to expand our European footprint.
“2020 looks set to be a transformative year for Alternus as we enter the new year with an additional 108MWs currently contracted for acquisition, in addition to the 50MWs already owned, and with over 700MWs of development and operational projects in the pipeline.”
The Rilland park purchase price, which may change as a result of a working capital adjustment and earn-out of up to €0.5 million depending on the future performance, includes assumption of a third-party senior bank debt facility in the amount of approximately €7.2 million (approximately $8.1 million). Alternus funded €1.85 million (approximately $2.1 million) of the purchase price through the issuance of a €2.15 million bond issued to a leading European Renewable Energy Fund. Additionally, ALTN issued a €1.7 million (approximately $1.87 million) loan to Unisun which is due by January 31, 2020.
