AES Sells Wind Farm Assets in France

Through its subsidiary AES Southern Europe Holdings, B.V., AES sold the 34.5 MW St. Patrick wind farm and its minority share of InnoVent SAS, which controls 114 MW of wind assets in operation and under construction. On a proportional basis, the transaction represents 73 MW of generation capacity.

“Despite the difficult macroeconomic environment, we are continuing to execute on our plan to create shareholder value.”

“The sale of our French wind assets fits our strategy to exit some markets in order to focus on those where we can sustain a competitive advantage,” said Andrés Gluski, AES President and Chief Executive Officer. “Despite the difficult macroeconomic environment, we are continuing to execute on our plan to create shareholder value.”

The use of proceeds will be evaluated in accordance with AES’ capital allocation policy to maximize total shareholder returns by paying down debt, investing in new businesses or repurchasing shares. These assets contributed approximately $3.5 million of net income to AES in 2011. With total expected proceeds of approximately $42 million, the implied P/E multiple for this transaction is 12 times 2011 earnings.

Boralex is a power producer whose core business is dedicated to the development and the operation of renewable energy power stations. Currently, the Corporation operates an asset base with an installed capacity of 500 MW in Canada, the Northeastern United States and France. Boralex is also committed under power development projects, both independently and with Canadian and European partners, to add more than 525 MW of power. With more than 200 employees, Boralex is known for its diversified expertise and in-depth experience in four power generation types — wind, hydroelectric, thermal and solar. Boralex’s shares and convertible debentures are listed on the Toronto Stock Exchange under the ticker symbols BLX and BLX.DB, respectively. 

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