04. Jul 2014

BayWa r.e. Sells Brahms Wind Equity Stake to Macquarie

BayWa r.e. Wind, LLC announced today that it has sold its equity stake in the 19.8 MW Brahms wind project, located in Curry County, New Mexico, to Macquarie Infrastructure Company (NYSE: MIC) an affiliate of the Macquarie Group. The balance sheet funded project was placed in service last February and the Company announced the closing of tax equity with a Union Bank affiliate last month.

BayWa r.e. Wind, LLC acquired the development rights in July 2013 and quickly moved forward to complete the project. “This transaction completes the full life cycle of the project and confirms the successful execution of the new business plan set out since the company’s takeover by BayWa r.e. only two and a half years ago,” Florian Zerhusen adds. “Our business plan is to acquire development assets, self-fund construction, secure tax equity investment and then sell the sponsor interests in the projects at or after commercial operation. Using this model, we sell turnkey, fully structured projects to strategic and financial investors.“

"We have been discussing the potential to diversify our Contracted Power and Energy segment into projects other than solar photovoltaic for some time," said James Hooke, chief executive officer of MIC. "This particular opportunity meets our investment criteria in that it is an existing facility with a proven wind resource, there is a 20 year power purchase agreement in place with an investment grade counterparty, and we were able to structure the investment in a manner that provides us with good visibility into the cash generating of the facility, similar to our existing contracted power projects."

This marks MIC’s first investment in wind power generation. BayWa r.e. will have a continuing role as asset manager for Brahms. This is the third project BayWa r.e. completed since the takeover and the fourth project will be completed later this year.

BayWa r.e. was represented by Morrison & Foerster in the sale while Macquarie was represented by O’Melveny & Myers.

Contact details

BayWa r.e. Wind, LLC
Suite 1470
4365 Executive Drive
San Diego, CA 92121

Phone: + 1 858 450 6800
Fax: +1 858 450 6801
Email: info@baywa-re.us