Exelon Expanding Into Wind Generation with Acquisition of John Deere Renewables
- Exelon Expanding Into Wind Generation with Acquisition of John Deere Renewables
Deal Will Enhance Exelon�s Environmental Leadership, Make It One of the Nation�s Largest Wind Generators
August 31, 2010--(BUSINESS WIRE)
CHICAGO--Exelon Corporation today announced an agreement to acquire John Deere Renewables, a leading operator and developer of wind power, in a transaction that will add 735 operating megawatts of clean, renewable energy to Exelon�s generation portfolio, as well as an additional 230 megawatts in advanced stages of development.
�We expect to see increasing demand for clean, efficient wind power at a national level and in the 29 states that already have a renewable energy standard�
The acquisition, valued at approximately $860 million with a provision for up to an additional $40 million upon commencement of construction on the advanced development projects, is an economically sound transaction that builds on the company�s commitment to renewable energy as part of Exelon 2020, a business and environmental strategy to eliminate the equivalent of Exelon�s 2001 carbon footprint. Exelon already is the least carbon-intensive of the large U.S. electric utilities, and this transaction marks its entry into owning and operating wind projects. Exelon will finance the transaction using Exelon Generation debt.
�Not only does this acquisition add value for Exelon shareholders, providing incremental earnings in 2012 and cash flows in 2013, but it also is one more way to implement a clean energy future,