April 15, 2013
/PRNewswire/ -- Atlantic Power Corporation (NYSE: AT) (TSX: ATP) ("Atlantic Power" or the "Company") today announced the closing of its previously announced sale of the Company's interests in three
projects (the "Florida Project Sale"), Auburndale Power Partners Limited Partners ("
"), Lake Cogen, Ltd. ("
, Ltd. for a purchase price, including working capital adjustments, of approximately
. After repayment of project-level debt at
and settlement of all outstanding natural gas swap agreements at
, net cash proceeds to Atlantic Power from the Florida Project Sale were approximately
. This includes
received at closing and cash distributions from the projects of approximately
million received since
, 2013. The Company expects to use the net proceeds from the Florida Project Sale to fully repay the Company's senior credit facility, which has an outstanding balance of approximately
, and the remainder will be held for general corporate purposes, including future accretive growth opportunities. All figures are in US$ unless stated otherwise.
Update on Other Asset Sales
In April, the Company, along with its partners, entered into a purchase and sale agreement to sell its 17% interest in the
") for gross proceeds of approximately
(the "Gregory Sale"). The Company's share of the Gregory Sale proceeds, net of project debt repayment, working capital adjustments and transaction expenses, is expected to be approximately
. Closing of the Gregory Sale is subject to customary closing conditions and regulatory and other approvals and is expected to occur in the third quarter of 2013. Project Adjusted EBITDA attributable to
and included in the Company's 2013 guidance provided in the Company's
earnings release and on the
conference call is less than
. The Company has not provided a reconciliation of forward-looking non-GAAP measures, due primarily to variability and difficulty in making accurate forecasts and projects, as not all of the information necessary for a quantitative reconciliation is available to the Company without unreasonable efforts.
Separately, as previously announced, in
, the Company entered into a purchase and sale agreement to sell its 100% interest in the Path 15 transmission line in
("Path 15"). The Company has received regulatory approvals for and expects to close the sale of Path 15 (the "Path 15 Sale") at the end of April 2013. Net cash proceeds from the Path 15 Sale, including working capital adjustments, are expected to be approximately
. All project level debt issued by Path 15, totaling
December 31, 2012
, will transfer to the purchaser with the Path 15 Sale. The Path 15 Sale is subject to customary closing conditions. Project Adjusted EBITDA attributable to Path 15 was excluded from the Company's 2013 EBITDA guidance as it is an asset held for sale.
The Company intends to use the net proceeds from the Gregory Sale and the Path 15 Sale for general corporate purposes and to invest in future accretive growth opportunities.