NRG Yield, Inc. To Acquire Energy Systems Company

NRG Yield, Inc., in its first third-party acquisition, has entered into an agreement to acquire the assets of privately held Energy Systems Company (ESC) of Omaha, Neb., a supplier of district energy, for $120 million in cash.

NRG Yield intends to fund the purchase price using cash on hand and expects the acquisition to increase Cash Available for Distribution by approximately $8 million in 2014. The assets will be acquired debt-free.

"The acquisition of ESC demonstrates NRG Yield's ability to successfully compete for attractive contracted energy assets available from third parties," said David Crane, NRG Yield's Chairman and Chief Executive Officer. "In addition to contributing to our objective of sustainable and visible dividend growth for our investors, ESC provides us another important opportunity to supply the energy needs of business and other institutional customers directly and in a manner that is not entirely grid dependent."

ESC currently serves nearly 14 million square feet of data center, commercial, educational, hospital, cultural and governmental space in Omaha with a weighted average remaining life of customer contracts over 11 years.