Revolve signs LOI to acquire Alberta solar project

Executive Summary

• Revolve Renewable Power Corp. has signed a binding letter of intent (LOI) to acquire development rights to a 30-megawatt-peak (MWp) solar project in Southern Alberta, Canada.
• The acquisition is part of Revolve's strategy to expand its utility-scale renewable portfolio, following the recent Alberta Utilities Commission (AUC) permit approval for its 15.7-MW Bright Meadows solar project.
• The transaction is financed through existing cash resources, with total potential consideration up to $1.55 million, and targets construction in 2027 with commissioning in mid-2028.

Key Details

• Transaction Structure: Binding Letter of Intent (LOI) signed on September 19, 2025, to acquire assets related to the 30 MWp solar project; definitive Asset Transfer Agreement (ATA) to follow subject to customary closing conditions.
• Financial Consideration:
  • Upfront payment of $75,000 upon signing the definitive ATA (includes reimbursement of certain development costs).
  • Additional consideration and reimbursement of historical development costs up to $1,479,750, subject to final installed capacity and milestone completion (commencement of construction and commercial operation date).
  • Total potential maximum consideration: $1,554,750.
• Financing: The transaction will be financed through existing cash resources held by the company.
• Project Specifications:
  • Capacity: 30 MWp solar project located in Southern Alberta.
  • Status: Mid-stage development; site control completed; currently in AUC permitting process with decision expected by end of 2025.
  • Timeline: Targeted ready-to-build in early 2027; commissioning targeted for mid-2028.
  • Land: Land lease agreement signed with one landowner for the entire project area.
• Financial Forecasts (Post-Commissioning):
  • Annualized Revenue: $5.6 million to $6.0 million.
  • EBITDA: $3.8 million to $4.2 million.
  • Construction Cost Estimate: $38 million to $40 million.
  • Funding Mix: Combination of debt, equity, and investment tax credit (up to 30% available for renewable energy projects in Canada).
• Strategic Context:
  • Adds to Revolve's growing pipeline of develop-and-build projects in Canada.
  • Aligns with the construction of the 15.7-MW Bright Meadows solar project (targeted for 2026).
  • Consistent with M&A strategy targeting projects under 30 MW in the U.S. and Canada.
  • Revolve currently operates a 6-MW Box Springs wind project in Alberta and has 12 MW net of operating assets across Canada and Mexico.

Notable Quotes

• "Revolve is actively expanding its presence in Canada given the strong renewable energy potential and this project acquisition contributes to that growth strategy," said chief executive officer Myke Clark.
• "This project has significant permitting and development work completed and will add another late-stage solar project to our growing project pipeline. The transaction is consistent with our M&A strategy of targeting projects under 30 MW in the U.S. and Canada, where we continue to see excellent opportunities to acquire, develop build and operate quality assets with attractive returns."