KKR has made three announcements regarding a deal to buy French renewable energy producer Albioma in a €1.6 billion deal, a takeover bid for Hitachi Transport System in Japan and the launch of a renewable energy storage project platform in Asia.
KKR has undertaken to pay shareholders of Albioma listed on Euronext Paris €50 for each share held, plus a dividend of €0.84. KKR said it would finance the transaction through its affiliated infrastructure funds.
Albioma is an independent producer of renewable energies, with an installed capacity of more than 1 GW. The company has 14 power plants in the French overseas departments, Mauritius and Brazil.
Frédéric Moyne, Chairman and Chief Executive Officer of Albioma, declared that the board welcomed this proposal and had set up an ad hoc committee composed of a majority of independent directors to assess the terms and conditions, in the interest of the all of the group’s shareholders and stakeholders.
Vincent Policard, Partner and Co-Head of European Infrastructure at KKR, said: “Alongside Frédéric Moyne and the Albioma team, KKR is committed to accelerating the energy transition in the French overseas departments and international expansion, while significantly increasing renewables in the energy mix to facilitate the exit from fossil fuels.
In the second announcement, KKR announced its intention to make a tender offer of 8,913 JPY (64.76 €) per share for the ordinary shares of Hitachi Transport System and a repurchase of 6,632 JPY per share for the third-party logistics activity.
KKR, which plans to finance the deal primarily from its Asia IV fund, expects to launch the public offering by the end of September 2022
Hiro Hirano, Co-Head of Asia-Pacific Private Equity at KKR and CEO of KKR Japan, said, “We look forward to using KKR’s global network and expertise to accelerate the next phase of growth for Hitachi Transport System. and help the company achieve its goal of becoming the leading 3PL company in Asia through enabling technology and inorganic growth in a collaborative manner.
In the third announcement, KKR announced that it has launched Aster Renewable Energy to develop, build and operate solar, wind and energy storage projects in Taiwan and Vietnam, while potentially expanding into other markets in Asia.
KKR makes its investment from its Asia-Pacific Infrastructure Fund.
The new Singapore-based renewable energy platform kicks off with an investment in a commercial solar PV project in Taiwan.
Aster is the second platform in Asia for KKR, which last October launched Virescent Infrastructure to hold solar assets in the Indian states of Maharashtra and Tamil Nadu in the Indian subcontinent.
Michael de Guzman, Managing Director of KKR’s Asia-Pacific Infrastructure team, said: “The launch of Aster reflects KKR’s confidence in the renewable energy sector in Asia and the important role it plays in our strategy. expanded infrastructure in Asia.
“We believe we have reached an inflection point where there is a strong convergence of favorable geography and resources, favorable government policies and demand for sustainable energy solutions to meet the growing needs of the region.”
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