UPDATE 1-Boralex to buy Enel Green Power for C$400 mln

Mon Dec 15, 2014 5:36pm EST
 
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(Adds deal details, Europe joint venture detail)

Dec 15 (Reuters) - Renewable energy company Boralex Inc said it offered to buy the French subsidiary of Enel Green Power SpA for C$400 million (about $343 million) to expand in France.

Boralex also said it would buy the 25 percent stake held in Boralex Europe SAS by joint venture partner Cube Infrastructure Fund, or convert it into debt as Cube wanted to exit the business.

Boralex said it expected to become the largest independent wind power producer in France, with an installed capacity of 455 MW, following Monday's deal.

The acquisition, including a pipeline of wind and solar projects, will add 12 wind farms with a total installed capacity of 186 megawatts (MW) in the country. It will increase Boralex's overall net installed capacity by 25 percent to 940 MW.

The company expects the deal to immediately add to cash flow, and said it will fund the deal with credit facilities and a C$110 million public offering of its subscription receipts.

Boralex was advised by BNP Paribas Corporate Finance in France and National Bank Financial Inc in Canada. ($1 = 1.1647 Canadian dollars) (Reporting By Manya Venkatesh in Bengaluru; Editing by Joyjeet Das)