Deals

Canada Pension Giant to Buy Pattern Energy for $2.6 Billion

  • Deal comes as big investors chase wind and solar farms
  • Yieldco structure fell out of favor after SunEdison imploded

      

Photographer: Luke Sharrett/Bloomberg

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Canada Pension Plan Investment Board agreed to buy Pattern Energy Group Inc. in a deal valued at $2.6 billion as big investors chase wind and solar farms that had lost luster on Wall Street.

The Toronto-based pension giant will pay $26.75 a share for Pattern, a 3.8% discount to Friday’s closing price, according to a statementBloomberg Terminal. Pattern’s stock is up about 16% since August following reports that the so-called yieldco had drawn interest from suitors including Brookfield Asset Management Inc.