UPDATE 1-SunEdison's emerging market unit files for IPO
May 7 (Reuters) - TerraForm Global Inc, formed by solar company SunEdison Inc to own and operate some of its power plants in emerging markets, filed with U.S. regulators for an initial public offering of its class A common shares.
TerraForm Global will operate as a "yield co", a corporate structure used by renewable energy companies to bundle up power plants and spin them off.
SunEdison is following in the footsteps of NRG Energy Inc , which listed a unit holding some of its wind and natural gas assets in 2013.
TerraForm's IPO comes at a time when solar firms are seeking newer and cheaper ways to finance solar power plants.
This would be the second IPO by a SunEdison "yield co" after TerraForm Power Inc, which owns and operates power plants mainly in the United States. TerraForm Power's IPO raised more than $500 million.
Its shares have risen nearly 18 percent since their debut last July.
TerraForm Global operates solar, wind and hydro-electric projects in countries including China, India, South Africa and Brazil, with a total capacity of 987.8 megawatt.
The company said it expects the projects to generate $164.8 million in cash available for distribution for the year ending Dec. 31, 2016. Continuación...