Thanks BeeBop. I saw that. I was expecting the SP to move down a bit on Ex D date as usual.
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From the Longroad announcement:
The construction costs are approximately $300 million with Longroad investing approximately $100 million as sponsor. A subsidiary of Berkshire Hathaway Energy is providing the balance of the permanent financing. Construction financing is led by KeyBanc Capital Markets as Coordinating Lead Arranger, and HSBC, CIBC, Zions Bank, and National Australia Bank as Joint Lead Arrangers.
Sounds like BH is going to be a debt not an equity investor.
the fact buffett is even interested in providing financial backing speaks volumes dont you think.
they probably know the people running longreach quite well i imagine. the same people who started first wind in 2002 and sold it 10 yrs later for 2.5 billion are now running longreach so if the first project goes well i imagine berkshire will provide more funding to expand the company.
In the long run berkshire might even take the company over as sounded like infratil was going to sell developments as they alluded to fact that as profits in longreach are made they might use these to pay special divs to shareholder.
i would rather them build the company up in the billions then sell to berkshire than take special divs peicemeal personally
We are excellent stewards of our substantial financial resources. Backed by Berkshire Hathaway, we invest in hard assets and focus on long-term opportunities that will contribute to the future strength of the company
Actually.. “permanent financing” kinda sound like equity doesn’t it.. Ha I dunno, does anyone on here know how to interpret these announcements?
A subsidiary of Berkshire Hathaway Energy is providing the balance of the permanent financing.
Berkshire hathaway Energy is One of of around 66 subsidiary companies of Berkshire Hathaway. According to the article it is not even BH Energy that is providing the funding but a subsidiary of BF Energy which would make it a very distant relative and it is unlikely Buffet has anything to do with this deal or even knows of its existance. They probably finance hundreds of these projects