Aker ASA has announced that its investment subsidiary Aker Horizons has acquired Mainstream Renewable Power.
For the sum of 900 million euros, the Norwegian investment company has acquired 75% of the capital of a major player in the renewable energies sector.
Aker ASA also acquires shares in SuperNode
Acquisition of 75% of Mainstream Renewable Power
Aker ASA and its subsidiary Aker Horizons have just acquired 75% of Mainstream Renewable Power for around 900 million euros.
Chairman and founder, Dr. Eddie O’Connor
Dr. Eddie O’Connor remains Chairman of the Board.
At the same time, Kjell Inge Røkke, Øyvind Eriksen, and Kristian Røkke (Presidents and CEOs of Aker ASA and Horizons) will also become members.
The agreement was largely financed by banking facilities provided by DNB Bank Asa and Nordea Band Apd.
Aker ASA and Aker Horizons contributed 248 and 110 million euros respectively to the purchase of the company.
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Accompanied by 50% of the company SuperNode
The agreement also includes the acquisition of 50% of SuperNode, a company specializing in superconducting cables.
The technologies developed by this company, founded in 2018, are particularly interesting for connecting offshore wind turbines and the market.
Finally, an additional payment of 100 million is planned in 2023, if certain targets are met.
Mainstream Renewable Power: the first step towards Aker ASA’s 10GW ambition
6.4GW worldwide for Mainstream Renewable Power
Mainstream Renewable Power is an independent global player in renewable energy.
Founded in 2008, the company has developed 6.4GW of renewable energy capacity.
It also participates in projects with global players.
For example, it is one of the most successful developers of offshore wind turbines, accounting for 22% of the UK’s offshore wind farm.
It is also one of the largest independent developers on the Chilean market, as well as on the African continent, notably in South Africa.
The company also has 700MW of projects scheduled to come on stream in 2021, and a cash position of over 500 million euros.
In all, Mainstream Renewable Power employs 335 people in 11 countries.
A 10GW target for Aker Horizons
The acquisition of Mainstream Renewable Power reflects a new strategy for Aker ASA.
By acquiring a renewable energy player, the company is taking a step towards energy transition.
Kristian Røkke even calls it a “political investment for the planet”.
Aker Horizons’ stated aim is to develop industrial companies representing 10GW in the field of renewable energies.
The company says it aims to eliminate 25 million tonnes of CO2 per year by 2025.
With this acquisition, Aker ASA gains access to Mainstream Renewable Power’s expertise in renewable energies, which will help it meet its objectives.
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1.4GW already in operation or under construction
The acquisition is accompanied by the acquisition of 1.4GW in operation or under construction, mainly in Chile and South Africa.
The company will also have projects under development equivalent to around 10GW.
All this confirms Aker ASA’s strategy of moving towards renewable energy production.
For its part, Mainstream Renewable Power intends to pursue its international development.
CEO Mary Quaney has announced her intention to make the company “one of the world’s leading renewable energy companies”.
To achieve this, the company will need Aker ASA’s financing, as well as its experience in developing industrial companies.
The prospect of massive investment in renewable energies
Following this acquisition, Aker ASA issued an internal restructuring plan.
In short, Aker Horizons becomes the subsidiary responsible for investment in the renewable energies market.
In this sense, the company takes over shares from other Group subsidiaries such as Aker Carbon Capture and Aker Offshore Wind.
Finally, Aker ASA’s acquisition of Mainstream Renewable Power opens up the prospect of massive investment in renewable energies.
It is therefore in line with the growing interest of companies in the energy transition.
