Polaris Infrastructure Acquires Union Energy Group Corp.
Polaris Infrastructure Inc. (TSX:PIF), a Toronto-based company engaged in the operation, acquisition and development of renewable energy projects in Latin America, has closed the acquisition of 100% of the issued and outstanding shares of Union Energy Group Corp. (UEG). UEG is an owner and developer of run-of-river hydro projects located in Peru.
As part of the UEG acquisition, Polaris Infrastructure has acquired the following assets:
- Canchayllo – a single 5 MW project in operation since 2015 ("Canchayllo");
- Generación Andina – two projects in the late stages of construction totalling 28 MW of generating capacity ("Generación Andina projects");
- Karpa – a single 20 MW project with a power purchase agreement ("PPA") in place ("Karpa");
- Portfolio of early stage development projects aggregating to approximately 189 MW.
Becker Glynn advised on certain aspects of the transaction, doing work related to restructuring an existing financing of a UEG subsidiary involved in the Generación Andina projects. The firm acted as New York international transaction counsel to Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (“FMO”) and DEG - Deutsche Investitions-und Entwicklungsgesellschaft mbH (together with FMO, the "Lenders") as Agent in connection with financing that the Lenders had extended in 2015 to Generación Andina S.A.C. - a project company controlled by UEG (the “Financing”).
In connection with the Polaris acquisition, the firm continued to represent FMO and DEG regarding the Financing and assisted with the negotiation and documentation of the restructuring of the Financing. The team consisted of Partner Peter Hosinski and Counsel Andrea Marquez-Bottome, with assistance from Foreign Associate Eduardo Kappel and Associate Matias Sueldo.
