BioTherm Energy is selling off a controlling interest in its South African solar and wind power plants portfolio. The company is selling a 60% stake of its REIPPP Round 1 portfolio which has a combined gross power generation capacity of 48.5 MW, to SunEdison.
The Round 1 portfolio is made up of three operating assets.
The power plants are contracted under 20-year fixed-price power purchase agreements (PPAs) with Eskom, South Africa’s state-owned power utility and have a weighted average contract term of 19 years. As part of the agreement, SunEdison will assume management responsibilities for these acquired power plants beginning one year after the transaction closing date.
The transaction is expected to close in the near future, subject to review from South Africa’s Department of Energy and normal closing conditions.
BioTherm’s other operations, which include developing, financing and constructing an extensive project pipeline across Africa, including its Round 4 assets in South Africa as well as 74MW of preferred bidder projects across the rest of Africa, will continue as usual.