Ullico Inc is providing an additional $50 million in funding to the Eagle Creek Renewable Energy Hydroelectric power portfolio in the US, expanding on a prior financing it completed in 2015.
Eagle Creek currently owns and operates 46 hydroelectric facilities in Illinois, Michigan, Minnesota, New York, New Jersey, New Hampshire, Wisconsin, Maine, Massachusetts and Vermont. The financing was made available through the Ullico Infrastructure Fund.
Eagle Creek said it intends to use the proceeds of Ullico's mezzanine financing to continue to both acquire and construct hydroelectric assets throughout the United States.
"This is a creatively structured transaction that provides Ullico with an expanded foothold in the highly desirable hydroelectric generation sector while offering Eagle Creek a competitive capital solution to grow its portfolio of hydro projects," said Rohit Syal, head of acquisitions for Ullico's infrastructure investments. "As zero-fuel cost base load power generation, hydro represents a core asset, and the Eagle Creek financing is a compelling investment for the Ullico infrastructure portfolio," said Jeff Murphy, portfolio manager for Ullico's infrastructure investments.
Ullico's financing ensures that Eagle Creek will continue to employ unionized labor in its major maintenance and construction activities. Eagle Creek recently completed two new plants in Vermont using unionized contractors.
"Through its investment in Eagle Creek, Ullico has broadened its infrastructure investment footprint to several states and regions that have long been important to the labor movement," said Edward M. Smith, president and CEO of Ullico Inc. "Ullico is proud to be teamed up with Eagle Creek to expand its portfolio."
Ullico Inc., through its infrastructure business, currently has investments in the utility and energy sectors and is exploring opportunities in all core sectors including transportation and social infrastructure.
