BOSTON, May 2, 2013 /CNW/ - Atlantic Power Corporation
(NYSE: AT) (TSX: ATP) ("Atlantic Power" or the "Company") today
announced the closing on April 30,
2013 of its previously announced sale of the Company's
interests in the Path 15 transmission line (the "Sale"), including
Atlantic Path 15 Transmission, LLC, Atlantic Holdings Path 15, LLC
and Atlantic Path 15, LLC (collectively, "Path 15"). Atlantic Power
received net cash proceeds from the Sale, including working capital
adjustments, of approximately $56
million. All debt issued by Path 15, totaling $137.2 million as of March
31, 2013, transferred with the Sale.
The Company also announced today the syndication of its
$44 million tax equity investment in
the Canadian Hills wind project ("Canadian Hills") with Bank of
America Merrill Lynch. In December
2012, Canadian Hills received tax equity investments
totaling $225 million from a
consortium of four institutional tax equity investors. At that
time, Atlantic Power also made a $44
million tax equity investment in Canadian Hills. Net cash
proceeds received by the Company for its interest were
approximately $42 million, which
accounts for the receipt by the Company of cash distributions and
tax benefits in 2013 and transaction costs. The syndication of the
Company's interest completes the sale of 100% of Canadian Hills'
$269 million of tax equity
interests.
The Company intends to use the net proceeds from these
transactions for general corporate purposes, including investment
in future accretive growth opportunities.
About Atlantic Power
Atlantic Power owns and operates
a diverse fleet of power generation assets in the United States and Canada. Atlantic Power's power generation
projects sell electricity to utilities and other large commercial
customers largely under long-term power purchase agreements, which
seek to minimize exposure to changes in commodity prices. Its power
generation projects in operation have an aggregate gross electric
generation capacity of approximately 3,019 MW in which its
aggregate ownership interest is approximately 2,098 MW. Its current
portfolio consists of interests in twenty-nine operational power
generation projects across eleven states in the United States and two provinces in
Canada. Atlantic Power recently
acquired Ridgeline Energy, Inc., a wind and solar development
company located in Seattle,
Washington, which enhances its ability to develop, acquire
and operate wind and solar energy projects in the United States and Canada. Atlantic Power also owns a majority
interest in Rollcast Energy, a biomass power plant developer in
North Carolina.
Atlantic Power has a market capitalization of approximately
$600 million and trades on the New
York Stock Exchange under the symbol AT and on the Toronto Stock
Exchange under the symbol ATP. For more information, please visit
the Company's website at www.atlanticpower.com or contact:
Atlantic Power Corporation
Amanda Wagemaker, Investor
Relations
(617) 977-2700
info@atlanticpower.com
Copies of financial data and other publicly filed documents get
filed on SEDAR at www.sedar.com or on EDGAR at
www.sec.gov/edgar.shtml under "Atlantic Power Corporation" or on
the Company's website.
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Cautionary Note Regarding Forward-looking
Statements
To the extent any statements made in this news
release contain information that is not historical, these
statements are forward-looking statements within the meaning of
Section 27A of the U.S. Securities Act of 1933, as amended, and
Section 21E of the U.S. Securities Exchange Act of 1934, as
amended, and forward-looking information as defined under Canadian
securities law (collectively, "forward-looking statements").
Certain statements in this news release may constitute
"forward-looking statements", which reflect the expectations of
management regarding future growth, results of operations,
performance and business prospects and opportunities of the Company
and its projects and other matters. These statements, which are
based on certain assumptions and describe the Company's future
plans, strategies and expectations, can generally be identified by
the use of the words "may," "will," "project," "continue,"
"believe," "intend," "anticipate," "expect" or similar expressions
that are predictions of or indicate future events or trends and
which do not relate solely to present or historical matters.
Examples of such statements in this press release include, but are
not limited, to statements with respect to the expectation that the
Company will use net proceeds from the Sale and the syndication of
its tax equity investment for general corporate purposes, including
investment in future accretive growth opportunities,
Forward-looking statements involve significant risks and
uncertainties, should not be read as guarantees of future
performance or results, and will not necessarily be accurate
indications of whether or not, or the times at or by which, such
performance or results will be achieved. A number of factors could
cause actual results to differ materially from the results
discussed in the forward-looking statements, including, but not
limited to, the factors discussed under "Risk Factors" in the
Company's periodic reports as filed with the U.S. Securities and
Exchange Commission and applicable securities regulatory
authorities in Canada from time to
time. Although the forward-looking statements contained in this
news release are based upon what are believed to be reasonable
assumptions, investors cannot be assured that actual results will
be consistent with these forward-looking statements, and the
differences may be material. These forward-looking statements are
made as of the date of this news release and, except as expressly
required by applicable law, the Company assumes no obligation to
update or revise them to reflect new events or circumstances.
SOURCE Atlantic Power Corporation