SunEdison Inc. says it has terminated its agreement with Light SA to acquire a 16% stake in Brazil-based Renova for $250 million. In addition, an associated agreement among SunEdison, Renova Energia SA and TerraForm Global Inc. was also terminated.
‘While it is disappointing that the agreement was terminated, we remain committed to Brazil,’ says Brian Wuebbels, SunEdison's chief financial officer and TerraForm Global's CEO. ‘In addition, Renova remains a valued partner, and we look forward to continuing our relationship with them on our solar development joint venture.’
In July, SunEdison entered into a securities purchase agreement with Light Energia in which SunEdison agreed to acquire all of Light Energia's approximately 16% ownership interest in Renova. The purchase price was payable in shares of SunEdison common stock. SunEdison terminated this agreement as a result of"certain conditions precedent to closing not being satisfied," the company says.
The agreement among SunEdison, Renova Energia and TerraForm Global had been intended to provide for"the acquisition of certain development-stage projects that were intended for a subsequent sale by SunEdison to TerraForm Global as call rights projects under the sponsor support agreement."
A previously announced fifty-fifty joint venture between Renova and SunEdison to develop, own and operate 1 GW of utility-scale solar PV projects in Brazil remains.
