ALLETE, Inc. (NYSE: ALE) confirmed that it has finalized the earlier announced acquisition of New Energy Equity, one of the nation’s top distributed solar developers, for around $165.5 million. New Energy Equity, based in Annapolis, Maryland, has executed more than 250 distributed solar projects totaling more than 330 megawatts around the US. Over the next three years, the business plans to develop around 2 gigawatts of capacity across 26 states.
ALLETE has been indicating its intention to enter the solar business for some time, and when it met with New Energy Equity's leadership team, it knew it had found the perfect company to position with it well. The New Energy Equity team offers to ALLETE a wealth of distributed and community solar knowledge and experience, as well as a history of financial success. As it led the way to a sustainable energy future, the inclusion of New Energy Equity strengthens its strong portfolio of firms and expertise while also opening up new growth potential.
In recent independent research, ALLETE was designated the No. 1 renewable energy investor among all U.S. investor-owned utilities in terms of market capitalization. NEW ENERGY EQUITY, according to ALLETE Chair, President, and CEO Bethany Owen, is a good fit for the company's sustainability-in-action strategy.
Furthermore, ALLETE, Inc. is a Minnesota-based energy firm with headquarters in Duluth. ALLETE operates ALLETE Clean Energy in Duluth, New Energy Equity in Annapolis, Maryland, and BNI Energy in Bismarck, N.D., in addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, and has an 8% equity stake in the American Transmission Co.