Alternus Energy concludes acquisition of 11.75 MW Zonepark Rilland B.V solar park

Alternus Energy Inc. (ALTN) has completed the acquisition of Zonepark Rilland B.V. and its 11.75 MW ground-mounted solar photovoltaic (PV) power plant in Rilland, the Netherlands, from Coöperatie Unisun Energy U.A. for EUR10.5 million (approximately US$11.76 million).

The 11.75 MW solar facility is the largest individual operational solar PV park and is secured with a 15-year government counterparty Feed-in-Tariff (FiT) contract at fixed sales prices, in addition to a Power Purchase Agreement (PPA) with a local energy operator. The combined contracts provide long-term predictable positive cash flows to Alternus and as the park is already operational it will be immediately revenue and income accretive to Alternus. Based on current energy production, Rilland is expected to add approximately US$1.4 million in annual revenues for at least 15 years at average 75% gross margins.

The Rilland park purchase price, which may change as a result of a working capital adjustment and earn-out of up to EUR0.5 million (US$0.6 million) depending on the future performance, includes the assumption of a third-party senior bank debt facility in the amount of approximately EUR7.2 million (US$7.9 million). Alternus funded EUR1.85 million (US$2 million) of the purchase price through the issuance of a EUR2.15 million (US$2.4 million) bond issued to a leading European Renewable Energy Fund. Additionally, ALTN issued a EUR1.7 million (US$1.8 million) loan to Unisun which is due by January 31, 2020.