Abengoa’s Solana plant is one of four Concentrated Solar Power (CSP)plants slated for transfer to the YieldCo.
Abengoa has filed a registration statement with the U.S. Securities and Exchange Commission (SEC) to create a YieldCo investment vehicle for the ownership of energy assets.
Abengoa Yield plc. (Leeds, UK) will initially focus on the ownership and acquisition of both renewable and conventional power generation and transmission assets in North America, South America, and Spain.
“We believe we are well positioned to be a premier company for investors seeking a total return based on stable and growing dividend income from a diversified portfolio of low-risk, high-quality assets, and for investors with a key objective of accretive dividend growth,” declared Abengoa in its SEC filing.
“We intend to take advantage of favorable trends in the power generation and electric transmission sectors globally, including energy scarcity and a focus on the reduction of carbon emissions.”
As of the April 1st, 2014 filing, Abengoa Yield will own 11 assets, comprising 710 MW of renewable energy plants, 300 MW of conventional power plants and 1,018 miles of transmission lines.
This includes Abengoa’s Solana and Mojave concentrating solar power (CSP) plants in the United States, and two CSP plants totaling 100 MW in Spain, for a total of 660 MW of CSP.
The company will also have the right of first offer on any sale of Abengoa’s assets in eight nations in North and South America including the United States, the European Union, and four assets in Africa and the Middle East.
As of the filing Abengoa had not yet priced the shares in the YieldCo’s initial public offering. Citigroup (New York City) and BofA Merrill Lynch (New York City) will serve as underwriters for the offering.