Monday 30 April 2007

Wind Partners plans buying spree

Australian Financial Review
Friday 27/4/2007 Page: 58

Babcock and Brown Wind Partners plans to sell shares to help fund the $1.45 billion purchase of three global wind farms, more than doubling the group's current wind farm holding and potentially raising as much as $150 million. Wind Partners is seeking a European wind farm valued at around $180 million and is also looking to spend around $885 million on half of the group that owns Enersis. Enersis was bought by Babcock and Brown, the wind fund's investment manager, in December 2005.

Wind Partners may also buy B&B's Class B interest in wind-farm projects within the so-called US07 portfolio, consisting of three assets in the US worth $390 million. The company will issue 87.1 million securities to institutional investors through UBS, Deutsche Bank and Tricom Equities.

Wind Partners chief executive Miles George said 'in addition to these acquisitions, we have excellent access to a high-quality pipeline'. B&B has agreed to take 10 per cent of the new stock and the fund will sell shares for between $1.72 and $1.80 each. The fund yesterday increased its forecast for net operating cash flow by at least 2.5 per cent for 2008-09 and reaffirmed distribution guidance for 2007 at 12.5¢ a share and 14¢ a share for 2008.

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