Statkraft to obtain Solarcentury, adding 6GW to international solar portfolio

• Norwegian renewables large Statkraft is to acquire UK-headquartered solar designer Solarcentury, taking on a 6GW global portfolio in doing so.

The bargain, struck at a purchase price of ₤ 117.7 million, will certainly see Statkraft handle a pipe of utility-scale solar tasks in markets consisting of Spain, Chile, Italy, Greece, France, the Netherlands as well as the UK.

Statkraft has maintained a target of developing at least 8GW of wind and solar by 2025, and also the business said the acquisition-- which likewise noted the renewables titan's "renewed commitment to solar energy"-- will also play a significant function within that target.

The company additionally added that Solarcentury's geographical footprint matched that of Statkraft's existing development portfolio and market operations.

Additionally, Statkraft stated the offer would certainly make the firm a leading designer within Europe's solar market, with the possible to come to be world-leading.

"Just like hydropower and also solar power complement each other, Statkraft and also Solarcentury are a superb suit regards to purpose and people. Signing up with forces will increase our development as well as continue to drive the energy shift ahead," Christian Rynning-Tønnesen, CEO at Stakraft, claimed.

News of a potential sale of Solarcentury was first mooted last Spring, when reports arised that the business had actually engaged investment bank Evercore to look after a potential public auction of the business that, at the time, was expected to have fetched as long as ₤ 250 million.

Validating those reports, Solarcentury CEO Frans van den Heuvel informed sibling publication Solar Power Portal that a sale was necessary to drive the firm to the "top rate" of global solar advancement.

"To continue to grow at the pace that is possible given the market we're running in, we will certainly benefit from a bigger balance sheet as well as this has actually resulted in us seeking new ownership. Statkraft is the ideal match for us offered their aspiration to invest in and expand their solar portfolio," Van den Heuvel stated today.

Under the terms of the deal, Stakraft is to acquire 100% of shares in Solarcentury Holdings and also its subsidiaries, getting existing investors including Scottish Equity Partners, VantagePoint Capital Partners, Zouk Capital as well as Grupo Ecos.

The bargain remains subject to regulatory and also competitors approvals, however is anticipated to completed by the end of the year.

Solarcentury's last set of annual outcomes, for the year ended 31 March 2020, revealed the firm tape-recorded web profit of around ₤ 18.7 million, indicating an M&A multiple of 6.3.