Polaris Renewable Energy enters Equity Capital Contribution Agreement

Polaris Renewable Energy (RAMPF) has entered into an Equity Capital Contribution Agreement with respect to Punta Lima Wind Farm, a wholly owned subsidiary of Santander Bank (SAN). The project is an operating onshore wind farm called Punta Lima Wind Farm with a nameplate capacity of 26.0 MW’s located in the Municipality of Naguabo, Puerto Rico. The Project was re-constructed and recommissioned by Santander and has a 20-year power purchase agreement in place with Puerto Rico Electric Power Authority terminating in March 2044. The transaction is being completed using a tax-equity structure which will result in Polaris becoming the manager and operator of the Project with a controlling equity interest and Santander retaining a tax equity interest in the Project. the transaction is subject to customary closing conditions, which principally consist of approval of the acquisition by local regulatory bodies as well as the execution of a corresponding LLC Agreement. It is expected that these conditions will take approximately 90 days to finalize. The total equity contribution of $20 million from Polaris will be subject to customary closing adjustments including working capital changes. Polaris intends to use cash on hand to fund the equity contribution. Santander Corporate & Investment Banking acted as sole financial advisor to Santander Bank