AltaGas Ltd. announced on Monday that it’s selling its portfolio of U.S. distributed generation assets held by its subsidiaries WGL Energy Systems Inc. and WGSW Inc., to TerraForm Power Inc., an affiliate of Brookfield Asset Management, for about $940 million.
The transaction, which is expected to close in the third quarter, is subject to customary closing conditions.
Randy Crawford
AltaGas President and CEO
“We are firmly focused on enhancing the value of our core asset footprint where we see the most attractive opportunities for long-term, stable earnings growth,” said Randy Crawford, president and chief executive officer of AltaGas, in a news release.
“With today’s announcement, we are very close to achieving our 2019 asset sales target. We continue to execute against our near-term priorities, and I am confident that our 2019 funding and business plan is on track.”
With this transaction, the company said it has announced or completed about $1.3 billion of its $1.5 to $2 billion asset sales program targeted for 2019. Earlier this year, the company completed the sale of its interest in the Stonewall Gas Gathering System for about $379 million.
“The portfolio of U.S. distributed generation assets consists of 322 megawatts (MW) of contracted distributed generation assets located in 20 states and in the District of Columbia. Included in the portfolio are 291 MW of commercial and industrial solar comprised of both wholly owned assets and interests in tax equity partnerships, 10 MW of fuel cells and 21 MW of residential solar assets,” it said.
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