The Ontario Energy Board has given the green light allowing the sale of Orillia Power Distribution Corporation (OPDC) to Hydro One.
The deal includes all shares in OPDC to the provincial hydro company, with a sticker price of $26.35 million, and the assumption of nearly $15 million in debt. This means for a total transaction value of $41.3 million. Officials expect the deal to close in the coming months.
“During such a challenging economic climate due to COVID-19, the Ontario Energy Board’s approval of the sale of OPDC to Hydro One and the significant investments to be made in Orillia as a result of this decision is a beacon of light,” said Mayor Steve Clarke, “The sale of the distribution arm of Orillia Power to Hydro One will bring tremendous growth and investment to the City of Orillia,”
After the deal has closed, Hydro One plans to construct a provincial warehouse and a regional operations centre in Orillia’s Horne Business Park. It is expected this will generate up to 250 new jobs for the city.