SunEdison terminates deal to buy stake in Brazil's Renova, sell project rights to TerraForm
SunEdison Inc. said Wednesday it terminated the deal to buy a 16% stake in Brazil's Renova Energia S.A. for $250 million. The renewable energy company said that effectively terminates the deal between SunEdison and TerraForm Global Inc. , in which SunEdison's acquisition of certain development-stage projects from Renova would be sold to TerraForm as call rights projects. The 50-50 joint venture between SunEdison and Renova to develop and operate solar photovoltaic projects in Brazil remains in place. "While it is disappointing that the agreement was terminated, we remain committed to Brazil," said Brian Wuebbels, who is SunEdison's chief financial officer and TerraForm's chief executive. SunEdison's stock, which edged up 0.3% in premarket trade, has plunged 68% over the last three months through Tuesday, while TerraForm shares have tumbled 54%, Renova's stock has lost 30% and the S&P 500 has climbed 7.9%.
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