On Thursday, Boralex Inc. unveiled its updated strategic plan and introduced new corporate objectives for 2025 at its 2021 Investor Day.
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Accordingly, the company announced it will continue to build on the four key strategic directions of the plan it launched in 2019. These directions include growth, diversification, customers, and optimization.
Focusing on the US and European Markets
While focusing on these critical areas, Boralex will be able to accelerate the development of the wind and solar portfolios it has. Particularly, the independent energy producer will look to expand its presence in the high-potential markets it already targeted and in ones in Europe and the United States.
Besides, Boralex will look forward to creating the opportunity to introduce energy storage in regions where renewable energy networks are under higher development.
In this sense, the company’s most recent strategic plan integrates Boralex’s corporate social responsibility (CSR) strategy; particularly, including environmental, social, and governance (ESG) priorities.
The plans
Besides, the company will significantly increase the share of solar power in its asset and project portfolio, making a breakthrough in energy storage.
At the same time, Boralex will position the United States as its primary market for development. Similarly, it will diversify its geographic presence in Europe and other U.S. states and accelerate the wind power development in Canada.
Moreover, the energy producer will look to optimize its capital structure with a more significant share of corporate financing, including sustainable funding. In this regard, Boralex will also expand its existing customer base; particularly, to target industries interested in improving their climate and societal footprint
Accordingly, the 2025 Strategic Plan describes Boralex’s commitment to the rapid and significant changes in renewable energy development policies. Similarly, in greenhouse gas emission reduction targets worldwide.
Indeed, “these factors have created a business environment that offers numerous opportunities for growth; also, both organic and through acquisitions,” said the company in a media release.
Boralex – doubling its installed capacity under management by 2025
Therefore, and under what the company recognizes as a highly favorable context with the plus of a strong balance sheet; it announced its goal to double its installed capacity under management. Besides, the company also aims to achieve a combined EBITDA(A) of $800–850 million. Also, discretionary cash flows of $240–260 million by 2025.
In fact, these flows would represent compound annual growth rates ranging from 9–15% for all three performance measures.
In this regard, Patrick Decostre, President and CEO of Boralex, said; “We are proud of the work our team has accomplished in preparing this ambitious plan; that will allow us to accelerate our development initiatives in the high-growth renewable energy sector. Moreover, this development will be carried out in a disciplined manner. Also, with the utmost respect for environmental, social, and corporate governance criteria; particularly, as our strategic plan integrates our corporate social responsibility strategy.”
Besides, the CEO added that Boralex’s primary goal is to become the leading CSR reference for its two partners over the next few years.
Lastly, Bruno Guilmette, Vice President, and Chief Financial Officer, also explained; “We will continue to pursue disciplined growth through projects, acquisitions, and partnerships; that meet specific criteria for an improved asset portfolio with a return that meets the expectations of our shareholders.”
