Tuesday 25 September 2007

Babcock & Brown wind farms switch

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Tuesday 18/9/2007 Page: 2

A RESHUFFLING of assets in the Babcock and Brown group will see its stand-alone listed wind farm operation acquire control of more than 750 turbines across the US and Portugal from its parent company for just under $600 million. The deal substantially increases the size and power generation capability of Babcock and Brown Wind Partners (BBW) and prompted the ASX-quoted operator to upgrade the planned payouts over the next two years to its security holders. Investors - which include its parent with a 12 per cent stake - will see an increase of 16 per cent to 14.5 per security in 2008 and a 15.50 distribution in 2009, based on the revenue to be earnt from its existing portfolio of wind farms and three to be acquired in Texas and Colorado, and the 30 across Portugal. BBW's shares rose 2.25 0 to $1.68 yesterday.

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