Northland wraps up sale of 130-MW solar farm in Mexico

Canadian power producer Northland Power Inc (TSE:NPI) on Friday said it has finalised the divestment of its 130-MW La Lucha solar park in Mexico, which was commissioned about a year ago.

The photovoltaic (PV) farm was offloaded to Cometa Energia SA de CV, a subsidiary of Mexican independent power producer Saavi Energia. Financial details about the transaction were not available in the press statement.

Northland agreed to sell its entire shareholding in the La Lucha plant in March, saying it expected to receive about USD 205 million (EUR 191.3m) in cash after taxes and fees. The raised funds will be allocated to repay debt drawn on Northland’s revolving credit facility, with some of the fresh capital set to go for general corporate purposes.

The divestment was undertaken in line with the company’s strategy to focus on its core markets, simplify its business structure and recycle capital.

The La Luch PV park has been generating electricity since June last year.

(USD 1.0 = EUR 0.933)

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