SWITCH Power Corporation Announces Agreement To Sell Stake in PACE Canada LP
CALGARY, Alberta, March 16, 2022 (GLOBE NEWSWIRE) — SWITCH Power Corporation (“SWITCH” or “the Corporation”) announced today that it has entered into a definitive agreement with Solarnet Investment Canada Ltd. (“Solarnet”) whereby Solarnet will acquire the Corporation’s 50 per cent ownership of PACE Canada LP (“PACE Canada”).
PACE Canada owns four solar PV development projects in Alberta with a total capacity of 75ac megawatts. SWITCH and its PACE Canada partner, Pathfinder Clean Energy (“Pathfinder”), have been developing the Joffre, Youngstown, Hanna, and Caroline solar projects since 2018. The Joffre and Youngstown projects recently obtained Alberta Utilities Commission power plant approval, with procurement and construction expected to start in spring 2022. While the four solar projects have attractive fundamentals, greenfield project development is not part of SWITCH’s electricity-as-a-service strategy. In addition, current market conditions have provided opportunities for developers to monetize advanced development projects. While the terms of the transaction with Solarnet were not disclosed, the sale price received by SWITCH represents a meaningful return on development spend. Pathfinder will remain a 50 per cent unitholder in PACE Canada and will continue to support the development of these projects with its new partner.
Trevor White, CEO of SWITCH Power, said “This is an accretive transaction for SWITCH and its shareholders, and one that demonstrates our ability to successfully develop a portfolio of projects, creating value and return on development dollars. We are proud of these projects we co-developed with Pathfinder. However, the growing demand for solar projects in Alberta provided SWITCH a unique opportunity to divest this portfolio and recycle capital into our core business. With Solarnet, Pathfinder brings a credible partner to PACE Canada and together they will advance these projects while ensuring the commitments PACE Canada made to stakeholders are maintained.”
About SWITCH Power
SWITCH Power is an Alberta-based sustainable power developer, asset manager, and independent power producer. SWITCH targets underserved and niche markets to develop, finance, build, own and operate distributed power infrastructure, with a focus on customer facing projects with an inherent value proposition, through an electricity as a service model. Their portfolio spans across multiple technology, geographical, and customer segments, each presenting scale and providing a diverse portfolio of sustainable generation.
Solarnet Investment Canada Ltd. is a subsidiary of the GOLDBECK SOLAR Group, founded in 2001 and based in Germany. As a solar energy gateway, it offers all services within the value chain of a solar power plant and can integrate all aspects necessary for its successful realization. The company specializes in the turnkey construction of industrial, commercial and large-scale photovoltaic plants. It stands out for its international experience, technical excellence, and financial strength, as well as its innovative character in the solar industry.
For more information:
Mardell Van Nieuvenhuyse
c/o SWITCH Power Corp
Floor 19, 700 2nd Street SW
Calgary, AB T2P 2W2