MONTREAL, Dec. 16, 2016 /CNW Telbec/ - Boralex Inc.
("Boralex" or the "Corporation") (TSX: BLX) has closed a
financing for the Yellow Falls hydroelectric project in
Ontario (Canada) for $74.3 million.
"The closing of this financing is another recognition of the
quality of the projects we develop and the capital market's trust
in Boralex to successfully complete the construction of
hydroelectric assets," stated Boralex President and CEO
Patrick Lemaire.
The long-term financing of the 16 MW Yellow Falls
hydroelectric power station located on the Mattagami River in
Yellow Falls near the town of Smooth Rock
Falls in Ontario is
provided by Canada Life Insurance Company, Great West Life
Insurance Company and London Life Insurance Company for a total
amount of $74.3 million representing
approximately 81 % of estimated project costs. The financing
consists of a short-term tranche of $9.1
million which is fully-amortized over 10 years and a
long-term tranche of $65.2 million
which will begin amortizing over 29 years after the repayment of
the shorter tranche. The long-term tranche also includes a bullet
repayment feature at the end of the 39 year term. As a whole, the
two tranches will bear a fixed average interest rate of
approximately 5 % over the life of the loans.
The Yellow Falls project will mark Boralex's first hydropower
project developed alongside our First Nation partners the Taykwa
Tagamou Nation and the Mattagami First Nation. The two First
Nations, together with one of the original developer of the
project, have contractual rights to acquire a participation of up
to 31.25% of the project.
Construction of Yellow Falls hydroelectric site is currently
underway, with commissioning planned for the end of the second
quarter of 2017. The plant will operate under a 39-year power
purchase agreement with IESO.
About Boralex
Boralex develops, builds and operates renewable energy power
facilities in Canada, France and the
United States. A leader in the Canadian market and
France's largest independent
producer of onshore wind power, the Corporation is recognized for
its solid experience in optimizing its asset base in four power
generation types — wind, hydroelectric, thermal and solar. Boralex
ensures sustained growth by leveraging the expertise and
diversification developed over the past 25 years. Boralex's shares
and convertible debentures are listed on the Toronto Stock Exchange
under the ticker symbols BLX and BLX.DB.A, respectively. More
information is available at www.boralex.com
or www.sedar.com.
Caution regarding forward-looking
statements
Some of the statements contained in this press release,
including those regarding future results and performance and use of
proceeds of the Offering, are forward-looking statements based on
current expectations, within the meaning of securities legislation.
Boralex would like to point out that, by their very nature,
forward-looking statements involve risks and uncertainties such
that its results or the measures it adopts could differ materially
from those indicated by or underlying these statements, or could
have an impact on the degree of realization of a particular
projection. Boralex considers the assumptions on which these
forward-looking statements are based to be reasonable at the time
they were prepared, but cautions that these assumptions regarding
future events, many of which are beyond the control of the
Corporation, may ultimately prove to be incorrect. The main factors
that could lead to a material difference between the Corporation's
actual results and the projections or expectations set forth in the
forward-looking statements include, but are not limited to, the
general impact of economic conditions, raw material price increases
and availability, currency fluctuations, volatility in the selling
price of energy, the Corporation's financing capacity, negative
changes in general market conditions and regulations affecting the
industry, as well as other factors discussed in the Corporation's
filings with the various securities commissions.
Unless otherwise specified by the Corporation, the
forward-looking statements do not take into account the possible
impact on its activities, transactions, non-recurring items or
other exceptional items announced or occurring after the statements
are made.
There can be no assurance as to the materialization of the
results, performance or achievements as expressed or implied by
forward-looking statements. The reader is cautioned not to place
undue reliance on such forward-looking statements. Unless required
to do so under applicable securities legislation, Boralex
management does not assume any obligation to update or revise
forward-looking statements to reflect new information, future
events or other changes.
SOURCE Boralex Inc.