CAPSTONE INFRASTRUCTURE acquired by ICON INFRASTRUCTURE

iCON Infrastructure acquired Capstone Infrastructure, the Toronto-listed Canadian power generation company, through its iCON Infrastructure Partners III fund, taking it private under a plan of arrangement completed on 29 April 2016. Shareholders received $4.90 in cash for each common share or Class B exchangeable unit, giving the company an equity value of around $480 million. The purchase was made through Irving Infrastructure Corp., a subsidiary of the fund. Capstone brought a portfolio of biomass, hydro, solar, wind and thermal plants across several Canadian provinces, selling their output under long-term power purchase agreements, alongside a 50% indirect interest in the British regulated water utility Bristol Water. That holding was sold back to the same fund in December 2016, the proceeds serving to repay part of a promissory note issued to the parent company. Osler advised iCON Infrastructure on the acquisition.