The $10.5 million acquisition reflects a strategic pivot in Revolve’s growth model, emphasizing recurring revenue from operating projects alongside greenfield development. The deal, which is subject to final conditions including regulatory approval, would increase Revolve’s total operational capacity to 22 MW across North America.
The wind project comprises six 1.6 MW turbines currently generating revenue under a long-term Power Purchase Agreement (PPA) with a regional utility. The site spans 127 leased acres and is expected to remain operational through 2046. Notably, the project qualifies for U.S. federal production tax credits through 2031, enhancing its near- and mid-term financial viability.
Revolve anticipates the asset will deliver approximately $2.2 million in annual revenue and $885,000 in EBITDA in its first year post-acquisition. The acquisition will be 95% financed by Revolve, with the remaining 5% retained by a third party providing operations and maintenance services through an existing asset management agreement.
“This proposed acquisition is another significant milestone for Revolve as we continue to execute on our growth plan across North America,” said CEO Myke Clark. “It adds a strong, recurring revenue stream and supports our strategy to supplement organic development with the acquisition of operating assets.”
To finance the acquisition, Revolve has signed a term sheet with RE Royalties Ltd. for a $8 million secured loan, representing approximately 80% of the purchase price. The remaining capital will be sourced through a mix of corporate funds, debt facilities, or equity financing.
The secured loan carries a 12% interest rate on drawn funds and a 24-month term, with interest payable quarterly. As part of the financing arrangement, Revolve will also enter into a royalty agreement granting RE Royalties a 5% share of gross revenues generated by the wind project.
This financial strategy aligns with Revolve’s broader approach of balancing growth capital with manageable debt loads, while leveraging innovative financial instruments—like royalties—to avoid dilution and retain project control.
Revolve currently operates renewable energy assets totaling 12.33 MW in Canada and Mexico. The addition of this U.S.-based wind farm not only increases total operational capacity by nearly 80% but also positions the company more competitively in a growing domestic market that is accelerating toward grid decarbonization.
According to the U.S. Energy Information Administration, wind energy accounted for approximately 10.2% of total U.S. electricity generation in 2023, with continued growth expected amid federal incentives and increased demand for clean power procurement by utilities and large corporate buyers.
For Revolve, the acquisition signals a broader shift toward balancing its development pipeline with income-generating operational assets, enhancing both stability and investor appeal in a volatile renewable energy landscape.
