8point3 Energy initial public offering
8point3 Energy (CAFD), the yieldco that’s jointly sponsored by SunPower (SPWR) and FirstSolar (FSLR), raised $420 million in an IPO (initial public offering) completed on June 18 on the NASDAQ. CAFD sold 20 million shares at $21 each during the IPO.
Asset transfer to the yieldco
Aside from the initial portfolio, SunPower has a ROFO (right of first offer) agreement with CAFD. According to the agreement, SunPower will have to offer affected projects for sale to CAFD first, before approaching third parties. SunPower’s 128 MW (megawatt) Henrietta Solar Power project and 60 MW Hooper Solar Project are part of the ROFO agreement. The first project is located in California, and the second is based in Colorado. Both projects are expected to be completed in 2016.