Canadian group Westbridge Renewable Energy Corporation (TSXV: WEB) announced the completion of the sale of its 332-megawatt (MW) solar project in Alberta, the Sunnynook project, to METLEN Energy & Metals, a company specializing in renewable energy and metals. Holding a 75% stake in this project, Westbridge finalized the transaction after obtaining the required regulatory approvals from the Alberta Utilities Commission (AUC) and the TSX Venture Exchange (TSXV).
The Sunnynook project, located in Alberta’s Special Area 2 region, is part of Westbridge’s large-scale initiatives in Canada. This sale allows the company to repay debts incurred for Sunnynook’s development while retaining rights to other similar-sized projects in the province.
Transaction Details
The transaction was completed through the sale of all issued and outstanding shares of Sunnynook Solar Energy Inc., the entity responsible for the project. As a result, Westbridge received 41.4 million Canadian dollars at the close of the sale. The conditions of the transaction had been met, including approvals for construction, operation, and connection of the project to Alberta’s electrical grid.
From this amount, Westbridge fully repaid a loan of 18.4 million Canadian dollars, contracted from Leyline Renewable Capital, LLC, and secured by assets associated with the project. The sale of Sunnynook marks the second large-scale project that Westbridge has successfully monetized within the past twelve months, consolidating its strategy of progressive development and sale of its solar assets.
A project aligned with METLEN’s ambitions
Through this acquisition, METLEN strengthens its presence in the Canadian renewable energy market. According to Luis Laguna, METLEN’s Regional Director for North America, this solar project represents a significant step for the company in North America and demonstrates their commitment to sustainable energy production. The Sunnynook project, once constructed, is expected to provide electricity to more than 50,000 Alberta homes, contributing to the province’s energy transition.
Prospects and other projects in Alberta
In parallel, Westbridge retains ownership of three other projects in Alberta, also planned for sale to METLEN under separate agreements. These projects, similar in scope to Sunnynook, are currently undergoing regulatory approval. Once all conditions are met, each project can be closed individually. This series of sales to METLEN reflects Westbridge’s intent to capitalize on its assets as part of its international expansion strategy, while focusing on other growing markets.
Expansion dynamics for Westbridge and METLEN
Stefano Romanin, CEO of Westbridge, expressed his enthusiasm about the success of this strategic partnership with METLEN, highlighting the progress of the Sunnynook project to “ready-to-build” status in Alberta. He also mentioned the recent authorization for the 300 MW Dolcy Solar project, illustrating Westbridge’s strong growth in the North American solar energy sector. The two companies thus continue their collaboration and commitment to developing renewable energy production in the region.
This transaction underscores the growing importance of renewable energy in North American energy investments. It also highlights the role of major industrial groups in accelerating Canada’s energy transition.
