Vivint shareholders approve SunEdison acquisition

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The seemingly interminable acquisition of U.S. residential solar leasing provider Vivint Solar by renewable energy giant SunEdison looks set to draw to a close within weeks following the approval by Vivint’s shareholders of the deal.

Since first being announced around half a year ago, various roadblocks and modifications of the deal have served to delay its final approval, but in December a proxy statement by Vivint Solar called on its shareholders to vote on the acquisition, and with the post-ITC extension landscape a boon for residential solar, Vivint’s acquiescence was seen as merely a formality.

On Wednesday the company revealed in a regulatory filing that its shareholders voted overwhelmingly in favor of the SunEdison acquisition, with more than 100 million votes for and just 101,000 against.

The transaction has been valued at $1.9 billion, with SunEdison yieldco TerraForm Power on the hook to pay $799 million to acquire 470 MW of Vivint’s asset base. However, the terms of this deal served to delay the merger, with Appaloosa Management’s David Tepper suing SunEdison and claiming that the deal benefits SunEdison more than it does TerraForm Power, going so far as to call it "fundamentally unfair". Appaloosa Management has a 9.5% stake in TerraForm Power.

Following Tepper’s intervention, SunEdison has begun exploring the possibility of securing other buyers to take TerraForm Power’s stake, and a ruling is expected soon on whether Appaloosa Management’s grievance results in a withdrawal from the deal.

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