Solar power buy for Innergex

Article Excerpt

INNERGEX RENEWABLE ENERGY $9.92 (Toronto symbol INE; Shares outstanding: 55.6 million; Market cap: $819.3 million; TSINetwork Rating: Extra Risk; Dividend yield 5.9%; www.innergex.com) has bought the 27-megawatt Stardale solar project in eastern Ontario from Enfinity NV for $11.1 million. Stardale is forecast to start up early next year, and could increase Innergex’s power generating capacity by 6%. The project will cost roughly $129 million to complete. Solar power relies heavily on government subsidies to be profitable. However, the Ontario government has already signed 20-year firm contracts to buy all of Stardale’s power. Innergex Renewable Energy is a buy. buy…