The AES Corp. (AES: Quote) said Thursday that it has closed the sale of its interests in wind generation assets in France to Boralex Europe S.A. for about $42 million.
AES sold the 34.5 MW St. Patrick wind farm and its minority share of InnoVent SAS, through its subsidiary AES Southern Europe Holdings, B.V. On a proportional basis, the transaction represents 73 MW of generation capacity.
The use of proceeds will be evaluated in accordance with AES' capital allocation policy to maximize total shareholder returns by paying down debt, investing in new businesses or repurchasing shares.
These assets contributed about $3.5 million of net income to AES in 2011. With total expected proceeds of about $42 million, the implied P/E multiple for this transaction is 12 times 2011 earnings.
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by RTT Staff Writer
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