First Wind issues $200M for new projects
First Wind Holdings Inc. has raised $200 million by issuing notes through its subsidiary First Wind Capital LLC, which the company said it will use to pay down debt and finance new wind projects.
The senior secured notes, due 2018, were issued at par with a coupon of 10.25 percent, officials said. Credit Suisse, Deutsche Bank Securities, Goldman Sachs & Co. and RBS acted as joint book-running managers. First Wind put its plans for an initial public offering of stock on hold last October.
According to Paul Gaynor, CEO of Boston-based First Wind, the planned projects will be in the Northeast, the West and Hawaii, and should be operational “by the end of 2012.”
Earlier this month, First Wind reached an agreement with Algonquin Power and Utilities Corp. and Emera Inc. to jointly develop and operate new wind projects in the Northeast, through the formation of a new operating company, called Northeast Wind. In March, the company decided not to seek to build a wind farm on a mountain in Brimfield, stating that the reason was weaker-than-expected wind resources. First Wind faced strong opposition from local residents since introducing the project last June. The wind farm would have required a local zoning change that only a vote by residents could have enacted, signalling the project might have been impossible for the company.
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