WEC Energy to spend $250M for 80% stake in Samson solar project

Pavel Babic

WEC Energy (NYSE:WEC) said Tuesday it agreed to acquire an 80% ownership interest in the Samson I Solar Energy Center in Texas for ~$250M.

Samson I is a 250 MW solar project that already is generating renewable energy under a long-term power purchase agreement with AT&T.

Samson I is part of the five-phase Samson solar portfolio, the largest solar project under construction in the U.S.; when completed, Samson is expected to total 1,300 MW.

WEC Energy (WEC) also has existing or planned investments in eight major wind farms, which combined with its solar projects have nearly 2 GW of capacity.

WEC Energy (WEC) is "an attractive name for the long term," Cash Builder Opportunities writes in an analysis published recently on Seeking Alpha.

Comments

[ihookem]

If they can turn a profit on solar in Texas, and turn a profit on wind somewhere, then ok. They can not turn a profit on wind and solar in Wisconsin.

[waterlogger]

Big long term stable customer in AT&T outside Wisconsin regulator's clutches. What's not to like?
What are the odds on future partial ownership for additions 2 through 5?
Current owners usually get first option on contracts.

If they keep digging out Invenergy projects to buy, they should consider acquiring the company.
It would be cheaper in the long run, and WEC could cherry pick projects to add to their collection with big long term customers in favorable locations and market sectors.

[mikejack]

So wec captures 80% of the PTC and ITC. It’s all about money and meeting the state’s renewable goals

[User 31614085]

@mikejack I don't recall a vote being taken in my state setting these "renewable goals"...

[User 31614085]

there goes my electricity bill...