SunEdison +9.1%; S-1 filed, name given for solar project spinoff

|By:, SA News Editor

SunEdison (SUNE) has christened its solar project spinoff (formerly just known as YieldCo) TerraForm Power, and has filed an S-1. Goldman, Barclays, and Citi will act as the IPO underwriters.

TerraForm will trade under the symbol TERP, and will initially own projects (in the U.S., U.K., Canada, and Chile) with a nameplate capacity of 523.8MW. All of the projects have long-term power purchasing agreements attached; the average remaining lifespan is 18 years.

Between the IPO and the end of 2016, SunEdison will have to offer TerraForm solar projects expected to generate at least $175M in cash available for distribution within the first 12 months of their commercial operations dates.

SunEdison hasn't yet disclosed how large its stake will be post-IPO; it previously said it's looking to sell a 20%-30% stake, and raise up to $300M for new projects. The company added the spinoff is expected to pay a dividend.

The company's chip wafer unit turned in a moderately successful IPO last week.

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