The Caisse de dépôt et placement du Québec has made an investment of $98.9 million in Quebec-based Innergex Renewable Energy Inc. The investment gives the Caisse control of about 10.3% of Innergex’s issued and outstanding common shares, at a price of $10.27 per share.
The investment comes just after Innergex announced the acquisition of 70% of the Magpie hydroelectric generating station in Minganie RCM, Quebec, and the acquisition of Wildmare, a wind energy project in British Columbia.
Earlier today, Innergex also announced the introduction of a dividend-reinvestment program. The Caisse has agreed to contribute at least 50% of its shares to the program for 12 months.
“Through this transaction, the Caisse is participating in the growth of a Quebec leader that is extremely well positioned in renewable energy, a sector with a promising future,” said Normand Provost, executive vice-president of private equity with the Caisse. “As shown by its recent acquisitions, Innergex is expanding at a fast pace. Our goal is to support this company’s growth while generating attractive returns for our depositors.”
The Caisse has a long-standing relationship with Innergex, having made its initial investments in the company in 1995.
Innergex develops, owns and operates hydroelectric facilities, wind farms and solar photovoltaic farms, with operations in Quebec, Ontario, British Columbia and Idaho.