China Three Gorges, SDIC Said Among Bidders for Northland Power
(Bloomberg) -- China Three Gorges Corp. and SDIC Power Holdings Co. are among companies bidding for Canadian renewable energy producer Northland Power Inc., according to people familiar with the matter.
First-round bids for the Toronto-based company, which has a market value of C$3.7 billion ($2.8 billion), were due Dec. 2, said the people, who asked not to be identified because the matter is private. Some Canadian pension funds also had a look at the company but balked at its valuation ahead of the bid deadline, the people said.
Northland Power announced in July that the company had commenced a review of strategic alternatives, a spokesman for the company said in an e-mailed statement Friday, declining to comment further. Representatives for Three Gorges and SDIC didn’t immediately respond to phone calls and e-mails seeking comment.
Canadian Imperial Bank of Commerce and JPMorgan Chase & Co. are working on Northland’s review.
The company owns or has investments in power generation facilities in Canada, the U.S. and Germany. Its facilities produce electricity from clean natural gas and other renewable sources, including solar, wind and biomass.
Chinese President Xi Jinping has sought to cut pollution and spur investment in non-fossil fuels in the world’s second-largest economy.
Three Gorges agreed to buy control of German wind farm operator WindMW GmbH from Blackstone Group LP in June, in a deal valuing the target at about 1.7 billion euros ($1.8 billion) including debt, people familiar with the matter said at the time.
SDIC Power acquired Repsol SA’s offshore wind-energy business for 238 million euros in May, according to data compiled by Bloomberg.