Northland Power Selling $207 Million in Solar Farm-Backed Bonds

Oct. 6 (Bloomberg) — Northland Power Inc., a Toronto-based
renewable-energy developer, is selling C$232 million ($207
million) in bonds backed by six solar projects in Ontario.

The company’s Northland Power Solar Finance One LP unit is
offering notes that will mature in June 2032 at an interest rate
of 4.397 percent, according to a statement Oct. 3. Bank of Nova
Scotia and Canadian Imperial Bank of Commerce are leading the
private placement.

The notes were provisionally rated BBB (high), the second-lowest investment-grade level, by Dominion Bond Rating Service
Ltd. Proceeds will be used to repay existing debt and for
general corporate purposes, according to the statement. This is
Northland’s first bond sale backed by renewable-energy projects.

The six 10-megawatt solar farms were developed by Northland
and last year began generating power, which is sold to the
Ontario Power Authority under 20-year contracts.

To contact the reporter on this story:
Justin Doom in New York at
jdoom1@bloomberg.net

To contact the editors responsible for this story:
Reed Landberg at
landberg@bloomberg.net
Will Wade, Robin Saponar

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