Algonquin Power & Utilities has completed the acquisition of a 25-percent equity interest in Atlantica Yield for a total price of $608 million at a price of $24.25 per share, becoming its largest shareholder. Algonquin has an option to acquire an additional 16.47-percent stake in Atlantica Yield for a period of 60 days after the closing of the 25-percent acquisition.
The closing of this transaction represents the beginning of a new partnership between Atlantica and its largest shareholder, Algonquin. As part of this partnership, the shareholders agreement and ROFO (right of first offer) agreement signed with AAGES, the joint venture to focus on the development and construction of clean energy and water contracted assets, have become effective. The projects expected to be undertaken by AAGES under the ROFO in favor of Atlantica represent an important source of future growth for Atlantica.