An additional 230 MW of wind power is in “advanced stages of development”.

The acquisition is worth approximately US$860 million with a provision for up to an additional US$40m upon commencement of construction on the advanced wind power development projects.

“Not only does this acquisition add value for Exelon shareholders, providing incremental earnings in 2012 and cash flows in 2013, but it also is one more way to implement a clean energy future,” says John W. Rowe, Exelon Chairman and CEO.

“Whether harmful emissions are priced or regulated, our combined capacity of nearly 19,000 MW of zero-emission wind, solar, hydro, landfill gas and nuclear power remains a clear competitive advantage that will only become more valuable.”

Under the terms of agreement, Exelon will acquire John Deere Renewables’ 735 MW of installed, operating wind capacity. Approximately 75% of the operating portfolio is already sold under long-term power purchase arrangements.

As part of the acquisition, Exelon also has the opportunity to pursue 1,468 MW of new wind projects that are in various stages of development, including the 230 MW in advanced stages of development.

“We expect to see increasing demand for clean, efficient wind power at a national level and in the 29 states that already have a renewable energy standard,” Rowe adds. “This acquisition gives Exelon a strong position in the wind generation business that adds diversity to our generation fleet and provides more options for future growth.”

The acquisition will become part of the Exelon Power division of Exelon Generation, which already includes more than 1 GW of renewable power, including hydroelectricity, wind, landfill gas and solar.

The transaction with John Deere Renewables is expected to close in the fourth quarter of 2010.