NZ Windfarms, Meridian plan Te Rere Hau revamp

NZ Windfarms Ltd has announced an agreement with Meridian Energy Ltd to pursue the development and repower of the Te Rere Hau wind farm.

The agreement is subject to conditions including shareholder approval and a final investment decision.

As part of the agreement, NZ Windfarms will make a placement of 43.2 million shares to Meridian, representing 15% of its existing equity capital.

Meridian will then have a 13.04% shareholding in NZ Windfarms.

NZ Windfarms will also undertake a rights issue to existing shareholders, raising up to approximately $6.0 million.

The offer will be underwritten by Meridian.

Meridian's CEO will be invited to join the NZ Windfarms Board after the annual shareholders meeting.