Westbridge Renewable Energy Corporation (TSXV: WEB, OTCQX: WEGYF, FRA: PUQ) (“Westbridge”, “Westbridge Renewable” or the “Company”) is pleased to announce that it has closed the sale (the “Transaction”) of its Vulcan County, Alberta solar power plant project with a capacity of up to 230MWac (278 MWdc) (the “Project”), to a subsidiary of MYTILINEOS Energy & Metals (RIC: MYTr.AT, Bloomberg: MYTIL.GA, ADR: MYTHY US) (“MYTILINEOS”)) as announced on June 1st, 2023 and June 5th, 2023.
Transaction Details
The Transaction was completed by way of the sale of all the issued and outstanding shares of Georgetown Solar Inc. (“Georgetown”). Westbridge satisfied the conditions for the Transaction, including regulatory approvals from the Alberta Utilities Commission (“AUC”) for the construction, operation, and interconnection of the Project to the Alberta Interconnected Electric System and the TSX Venture Exchange (“TSXV”). The Company received C$47,564,002 at closing of the Transaction. MYTILINEOS paid 3% of the estimated base purchase price at signing and 92% of the estimated purchase price was paid at closing. The balance of the purchase price is expected to be paid when the Project reaches commercial operations.
In connection with closing of the Transaction, Westbridge repaid in full, from the proceeds of the Transaction, all amounts owing under its previously announced loan facilities secured by the Project and the shares of Georgetown, provided by certain lending entities established by Leyline Renewable Capital, LLC, and the security registered in respect thereof has been discharged.Westbridge continues to retain ownership and is continuing to advance the projects of each of its other subsidiaries: Red Willow Solar Inc., Eastervale Solar Inc., Dolcy Solar Inc., and Sunnynook Solar Energy Inc. (each, an “SPV”, together, the “SPVs”), which are also subject to the previously announced share purchase agreements with MYTILINEOS. The anticipated closing dates for each of the SPVs are expected to take place in 2024 and 2025. The sale of the shares of each SPV is not conditional on the sale of the shares of any other SPVs. Accordingly, the closings are expected to occur as and when the conditions to satisfy the purchase and sale of the shares of each SPV are satisfied or waived including regulatory approvals from the AUC and TSXV.
Stefano Romanin, CEO and Director of Westbridge Renewable commented,
“We are delighted to announce the closing of the Georgetown Project. This marks a pivotal milestone in the progress of our company as it is the company’s first project being monetized, realizing our strategic vision. It stands as a testament not only to our team’s dedication but to the solid business model executed over the past few years.
A special acknowledgement to global leader MYTILINEOS, for its invaluable support and welcome them to the Province of Alberta. We are confident that their expertise and commitment will propel the Project forward.”
Nikos Papapetrou, Executive Director of MYTILINEOS’ M Renewables, stated,
“We are thrilled to announce the successful closing of the Georgetown Project, an important first step of entry into Canada. Georgetown marks the closing of the first of five Alberta projects strategically poised for progression towards commercial energy production. The closing of the Georgetown Project at the ready to build stage launches our development plans seamlessly towards construction.”
“We extend our appreciation to Westbridge Renewable for their collaboration and guidance during the transition, we are excited about the forthcoming opportunities that lie ahead. We are honoured to play a significant role in shaping the future of the renewable energy landscape in Alberta, and we look forward to advancing the other projects to closing.”
