08:41 AM EDT, 03/20/2024 (MT Newswires) -- SolarBank Corp. (SUNN.CN), an independent renewable and clean energy project developer, said Wednesday that it agreed to acquire Solar Flow-Through Funds Ltd. (SFF) in an all-stock deal valuing SFF at up to $45 million.

Under the terms, SolarBank agreed to issue up to 5,859,567 shares for up to $41.8 million or $4.50 per share, a 7% premium to a valuation report prepared by Evans & Evans Inc.

Consideration comprises an upfront payment of about 3,575,638 SolarBank Shares and a contingent payment of up to an additional 2,283,929 SolarBank shares that will be issued in the form of contingent value rights.

SolarBank said the consideration excludes the common shares of SFF currently held by SolarBank.

Through the transaction, SolarBank said it will acquire 70 operating solar power sites along with SFF's pipeline of battery energy storage projects and electric vehicle charging stations.

"This acquisition advances our strategy of creating stakeholder value through growing our portfolio of high-quality cash-generating independent power producer assets," SolarBank President and CEO Richard Lu said.