GATINEAU, QC, March 16 /CNW Telbec/ - (BRC.UN) - Brookfield Renewable Power Fund (the "Fund") today announced that the Toronto Stock Exchange accepted a notice filed by the Fund of its intention to renew its normal course issuer bid for a further one year period. The Fund believes that at times its trust units may trade in a price range that does not fully reflect their value. As a result, from time to time, acquiring trust units represents an attractive and a desirable use of available funds.
The notice provides that the Fund may, during the twelve month period commencing March 19, 2010 and ending March 18, 2011, purchase on the Toronto Stock Exchange up to 2,500,000 trust units, representing less than 2.5% of its issued and outstanding trust units. At March 15, 2010, there were 104,718,976 trust units issued and outstanding and 108,781,476 units outstanding on a fully exchanged basis. Under the normal course issuer bid, the Fund may purchase up to 37,097 trust units on the Toronto Stock Exchange during any trading day, which represents 25% of the average daily trading volume on the Toronto Stock Exchange for the most recently completed six calendar months prior to the Toronto Stock Exchange's acceptance of the notice of the normal course issuer bid. This limitation does not apply to purchases made pursuant to block purchase exemptions.
The price to be paid for the trust units under the normal course issuer bid will be the market price at the time of purchase. The actual number of trust units to be purchased and the timing of such purchases will be determined by the Fund, and all trust units will be purchased on the open market through the facilities of the Toronto Stock Exchange. All trust units purchased by the Fund under this bid will be promptly cancelled.
The Fund's current normal course issuer bid expires on March 18, 2010. In the past twelve months the Fund has not purchased any of its units under the normal course issuer bid or otherwise.
The average daily trading volume of the trust units on the Toronto Stock Exchange during the six months ended February 28, 2010 was 148,390 trust units.
The Toronto Stock Exchange rules require that the Fund disclose particulars of an independent valuation (the "Formal Valuation") delivered by PricewaterhouseCoopers LLP to an independent committee of trustees of Brookfield Renewable Power Trust in connection with the Fund's August 31, 2009 acquisition of substantially all of Brookfield Renewable Power Inc.'s ("BRPI") Canadian renewable power generating assets not already owned by the Fund and the increase in the price the Fund receives from BRPI for generation output from the Fund's existing Lièvre Power and Mississagi Power assets (the "Transaction"). The total consideration for the Transaction was $945 million. Based upon and subject to the scope of review, major assumptions and restrictions and qualifications contained in the Formal Valuation, PricewaterhouseCoopers LLP gave its opinion dated July 6, 2009 that, as of June 19, 2009, (i) the fair market value of the shares of the various entities that own the projects and the increase in the price that BRPI pays to the Fund for power it purchases from the Fund's Lièvre and Mississagi hydroelectric facilities was in the range of $905 million to $1.0 billion, with a calculated mid-point of $952.5 million, and (ii) the fair market value of the $200 million senior unsecured note of the Fund to be issued to BRPI as partial consideration for the Transaction was equal to its face amount of $200 million. The Formal Valuation was provided for the use and purpose of the independent committee only and should not be construed as a recommendation to invest in, hold or divest of trust units. The full text of the Formal Valuation, which sets forth the assumptions, qualifications and considerations in connection with the Formal Valuation is annexed as Appendix C to the management information circular of the Fund dated July 15, 2009 and is available for review on SEDAR at www.sedar.com.
About Brookfield Renewable Power Fund
Brookfield Renewable Power Fund (www.brpfund.com) is a premier Canadian income fund and one of the largest power income funds in North America with more than 1,600 megawatts of power generating capacity and average annual production exceeding 6,300 gigawatt hours.
The Fund produces electricity exclusively from environmentally friendly and renewable resources. The Fund indirectly owns or holds interests in 42 high quality hydroelectric generating stations and one wind farm in four distinct geographic regions across North America: Quebec, Ontario, British Columbia and New England.
Brookfield Renewable Power Inc., which comprises all of the power operations of Brookfield Asset Management, owns 50.01% of the Fund's outstanding units on a fully-exchanged basis.
The Units are listed for trading on the TSX under the symbol BRC.UN.
SOURCE BROOKFIELD RENEWABLE POWER FUND
For further information: For further information: please visit www.brpfund.com or contact: Zev Korman, Director, Investor Relations and Communications, Brookfield Renewable Power Fund, (416) 359-1955, firstname.lastname@example.org