SSE Renewables acquires European onshore wind platform from Siemens Gamesa
SSE Renewables has entered into an agreement with Siemens Gamesa Renewable Energy (SGRE) to acquire its existing European renewable energy development platform for a consideration of €580m.
The SGRE portfolio includes c.3.9GW of onshore wind development projects – around half of which is located in Spain with the remainder across France, Italy and Greece – with scope for up to 1GW of additional co-located solar development opportunities. SSE Renewables will also take on a team of around 40 employees with vast experience in the sector.
The transaction is likely to complete by the end of September 2022, subject to receipt of relevant foreign direct investment and regulatory approvals.
The acquisition marks entry by SSE Renewables into Southern Europe, building on its successful renewables business in the UK and Ireland where it owns and operates 4GW of renewable assets, including nearly 2GW of onshore wind, with a secured pipeline of nearly 11GW across onshore wind, offshore wind and hydro projects.
The transaction will bring together the existing SGRE management team’s significant development experience across continental Europe and SSE’s expertise in constructing and operating wind farms, supported by its balance sheet strength.
With many of the projects in the SGRE portfolio at an early stage of development, the existing SGRE teams will be an integral part of progressing the projects and supporting SSE’s growth strategy in Europe.
The four countries in which the SGRE portfolio of development assets are located have strong growth prospects, underpinned by 2030 renewables or carbon reduction targets and attractive remuneration schemes. The platform, alongside the experienced development teams, will provide an excellent base for continued sourcing of development opportunities across onshore and offshore wind, solar, batteries and hydrogen, all of which are core to SSE’s growth strategy. It also presents opportunities to enter wider European markets.
“We are delighted to boost the delivery of SSE’s Net Zero Acceleration Programme by expanding our existing renewables business into Southern Europe through this acquisition. Mainland Europe is an exciting growth market for onshore wind, with clear carbon reduction targets and supportive policies, whilst the expert management team will complement our sector-leading capabilities perfectly. The project portfolio brings some excellent assets and will provide a real springboard for our expansion plans in Europe across wind, solar, batteries and hydrogen.”, said Stephen Wheeler Managing Director of SSE Renewables.
Source and image: SSE
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