Silver Ridge Cuts Size of Canada IPO by 14% to $150 MillionDoug Alexander
Silver Ridge Power Inc. cut the size of its planned initial public offering by 14 percent to C$150 million ($150 million), the second energy IPO in Canada in the past week to scale back its sale.
Silver Ridge, a solar-power plant company formed by AES Corp. and private-equity firm Riverstone Holdings LLC, seeks to sell 11.5 million to 12.5 million shares for C$12 to C$13 each, according to a revised sales document dated today. Silver Ridge initially sought to sell 11.3 million to 13 million shares for C$13.50 to C$15.50 to raise about C$175 million, according to an April document.
Oryx Petroleum Corp. cut the size of its IPO last week by 29 percent amid weak demand. Oryx sold C$250.5 million in new shares, the Calgary-based firm said yesterday in a statement, after initially seeking C$350 million. Oryx fell 2.3 percent from its C$15 initial sale price to close at C$14.66 in preliminary trading in Toronto.
Silver Ridge will acquire solar plants and projects owned by AES Solar Energy Ltd., a March 2008 joint venture of Arlington, Virginia-based AES and New York-based Riverstone, according to filings this month with Canadian regulators.
The plants, located in the U.S., Europe and India, will have a total generating capacity of 522 megawatts when the Mount Signal project in California is fully operational by next year, according to regulatory documents.
Silver Ridge Chief Financial Officer Becky Cranna didn’t immediately return a telephone message seeking comment.
Royal Bank of Canada, Bank of Montreal and Goldman Sachs Group Inc. are leading the sale, which is expected to be completed the week of May 21.
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