NEW YORK & TORONTO, June 2 /CNW/ - SkyPower Corp., one of Canada's
leading renewable energy companies with a substantial portfolio of wind and
solar projects across Canada has announced today that Lehman Brothers and its
Private Equity business have acquired a significant equity stake in the
The investment includes an up-front acquisition payment, commitments to
future project financing as well as other investment opportunities in the
renewable energy sector.
A portion of the up-front payment will be used by the Adler Renewable
Energy Foundation (AREF) a foundation which is being formed to help provide
select schools and needy communities in Canada the ability to benefit from
clean renewable power by having solar or wind power to augment or replace
where possible their current power needs.
The current SkyPower management team, led by its Founder and Chief
Executive Officer, Kerry Adler, will continue to be responsible for and
oversee all ongoing day-to-day operations as well as the strategic direction
of the company.
Kerry Adler, President and Chief Executive Officer of SkyPower commented:
"This is an important milestone for SkyPower, our stakeholders and our
partners. This transaction with Lehman Brothers provides us a unique solid
platform whereby we can accelerate the growth of our business. We believe that
we will be better positioned to capture increased opportunities as part of our
mandate and commitment to help Canada become a global environmental leader by
developing our vast natural renewable power resources and generating clean,
green renewable power. Lehman Brothers has clearly demonstrated its leadership
and environmental responsibility, and speaking on behalf of the entire
SkyPower team we are proud to be affiliated with an organization that is as
committed to addressing the issues of climate change."
"We are excited to partner with the SkyPower management team in embracing
the dynamic growth opportunities available in wind and solar energy,'' said
Michael Odrich, global head of Private Equity for Lehman Brothers. "This
investment is consistent with our Private Equity strategy of backing premier
management teams and underscores the Firm's commitment to renewable energy."
Stated Theodore Roosevelt IV, chairman of Lehman Brothers' Council on
Climate Change, "Our investment in SkyPower demonstrates the necessary linkage
between sound financial decisions and a better environment."
Since its inception in 2003, SkyPower has focused on developing wind and
solar power projects and has focused on a community-based development strategy
which aims to include the First Nations of Canada and local municipalities in
their renewable energy efforts. The extensive background of the SkyPower team
and advisors of over 40 strong and growing, is the cornerstone and most
critical component of SkyPower's strategic plan.
The vast experience of the team which come from industry sectors such as
energy, telecom, real estate, BPO (business process outsourcing), banking and
engineering has provided SkyPower with the talent and tools that will ensure
its continued penetration and success in the renewable energy industry.
SkyPower was advised on the transaction by Marathon Capital headquartered
in Bannockburn, Illinois, and Genuity Capital Markets based out of Toronto,
Ontario. The transaction is expected to close in mid June 2007 and specific
terms of the transaction were not disclosed.
SkyPower is a Canadian leading independent renewable energy developer
with interests in over 50 wind and solar projects at various stages of
development across Canada, representing more than 7,000 MW of potential
capacity. SkyPower's strategy involves bringing a portfolio of renewable
energy projects from exploration phase through to construction and commercial
operation. For further information about SkyPower or to explore partnership
opportunities visit our website at www.skypower.com
About Lehman Brothers
Lehman Brothers' Private Equity business, started in 1984, consists of 16
different fund strategies across six asset classes: merchant banking, venture
capital, real estate, fund-of-funds, credit and infrastructure.
Lehman Brothers' Investment Management Division (IMD) encompasses three
global businesses: Private Equity, which provides investment opportunities in
privately negotiated transactions across a variety of asset classes for
institutional and qualified individual investors; Private Investment
Management, which offers comprehensive investment, wealth advisory and capital
markets execution services for high net worth individuals and businesses,
leveraging all of the resources of the Firm; and the Asset Management
business, which offers proprietary asset management products across
traditional and alternative asset classes, through a variety of distribution
channels to individuals and institutions. IMD Assets under Management totalled
$236 billion as of February 28, 2007.
Lehman Brothers (ticker symbol: LEH), an innovator in global finance,
serves the financial needs of corporations, governments and municipalities,
institutional clients, and high-net-worth individuals worldwide. Founded in
1850, Lehman Brothers maintains leadership positions in equity and fixed
income sales, trading and research, investment banking, private investment
management, asset management, and private equity. The firm is headquartered in
New York, with regional headquarters in London and Tokyo, and operates in a
network of offices around the world. For further information about Lehman
Brothers' services, products, and recruitment opportunities, visit the firm's
Web site at www.lehman.com.
About Marathon Capital
Established in 1999, Marathon Capital, LLC is an investment banking firm
focused on the global energy and infrastructure markets and this represents
its fourth transaction involving a major renewable energy development company
and a global strategic in the last nine months. Marathon is currently working
on several similar assignments. Marathon is headquartered in Bannockburn,
Illinois and its web site is www.marathon-cap.com.
About Genuity Capital Markets
Genuity Capital Markets is an independent investment dealer that provides
comprehensive research, trading, sales, underwriting and M&A services from its
offices in Canada's four major financial centres as well as New York and
Boston (through its GCM USA Corp. subsidiary). Genuity Capital Markets and GCM
USA are operating subsidiaries of parent Genuity Financial Group. The firm's
web site is www.genuitycm.com.
For further information:
For further information: Kerry Adler, SkyPower Corp., (416) 979-4625;
Randall Whitestone, Lehman Brothers, (212) 526-7000