For a total cash value of 613 million euros, Siemens Gamesa Renewable Energy (SGRE) has closed the sale to the British SSE Renewables International (SSER) of a broad portfolio of wind energy development projects in Spain, France, Italy and Greece, the company reported.
The sale has been completed once the regulatory authorities and the corresponding authorizations have been obtained and having met certain agreed conditions, said the wind turbine manufacturer.
Specifically, of the total amount in cash of 613 million euros, 580 million euros correspond to the purchase price and 33 million euros to adjustments calculated based on the estimate of working capital and net debt as of June 30 of this year.
Siemens Gamesa added that this adjustment figure «is subject to the usual revision of the final values of working capital and net debt measured at the closing date based on financial statements prepared post-closing.
Last April, both groups reached an agreement for the sale of this portfolio, comprising approximately 3.8 gigawatts (GW) of onshore wind capacity in different stages of maturity in Spain, France, Greece and Italy, with the possibility of developing up to 1.4 GW of hybridization projects.
The deal includes the integration in SSE of approximately 50 people with extensive experience in the wind sector in these countries of the current Siemens Gamesa team, which has been advised on the operation by BofA Securities, CMS Albiñana & Suárez de Lezo and Deloitte.
Additionally, as part of the transaction, Siemens Gamesa will have the opportunity to supply turbines and offer long-term maintenance services for some of the installed wind farms and operated by the British SSE in the coming years from this sale.
The CEO of Siemens Gamesa, Jochen Eickholt, was “delighted” to have completed the agreement with SSE before the end of our fiscal year 2022″, as announced by the group in April, and highlighted that the operation allows the group optimize its portfolio of assets and achieve “create maximum value”
“We are sure that SSE is the right partner to develop the excellent portfolio of projects that our park development team in Southern Europe, now also part of SSE, has been able to build over the years. This agreement will certainly strengthen our relationship with SSE,” he said.
For his part, the CEO of SSE Renewables, Stephen Wheeler, stated that the group has “an excellent team that will help them establish a lasting presence in southern Europe, developing, constructing and operating onshore wind, solar and storage infrastructure.
Sse enters southern Europe
For SSE, the acquired portfolio represents an excellent platform to grow in Europe, creating development opportunities for onshore and offshore wind, solar, battery storage and hydrogen projectsas well as opportunities for hybridization and new technologies, all of which are fundamental areas in the company’s strategy.
With the purchase, the British group enters Southern Europe, a region that adds to its solid renewable business in the United Kingdom and Ireland, where it has an operating portfolio of 4 GW of renewable assets, of which about 2 GW are wind power land, and where it has a development portfolio of wind projects (onshore and offshore) and hydroelectric of almost 11 GW. The company is also recognized for developing more offshore wind capacity than any other company in the world.