Avangrid Renewables, a subsidiary of US-based Avangrid, has agreed to sell its 50% stake in two windfarms in the US to Axium Infrastructure for $112m.
Axium Infrastructure will acquire a 50% ownership stake in Dry Lake II windfarm as well as in the Copper Crossing solar project later this year.
Located in Snowflake, Arizona, Dry Lake II windfarm is equipped with 31 wind turbines that can generate more than 65MW of clean energy, it commenced operations in 2010.
Equipped with 66,000 photovoltaic (PV) modules, Copper Crossing solar project is located in Florence, Arizona and has the capacity to generate 20MW. The solar facility began operations in 2011.
Avangrid Renewables president and CEO Laura Beane said: “An experienced asset manager like Axium Infrastructure is a natural partner as we continually work to optimize our renewables assets and pipeline through strategic sales, alliances, or partnerships, and create value and new opportunities for the business.
“We look forward to expanding this partnership with future development opportunities.”
Completion of the deal is subject to customary closing conditions as well as approval from the Federal Energy Regulatory Commission (FERC), which is expected to take place in the fourth quarter of 2019.
The transfer of the windfarm is expected to occur in 2019, whilst the solar facility will be transferred to Axium in 2020.
Axium Infrastructure US president Thierry Vandal said: “Axium is thrilled to be partnering with Avangrid Renewables, a leading renewable energy company in the United States, in acquiring a 50% interest in these quality solar and wind assets in Arizona.
“We look forward to building on this transaction and growing our partnership in the coming years.”