Fred. Olsen Renewables (FORAS), a wholly owned subsidiary of the Norway-based listed company Bonheur ASA, has announced that it has entered into agreements providing EUR 480 million in equity financing for existing windfarms in Norway and Sweden and future onshore windfarms in the UK and Sweden.
FORAS will remain the 51% shareholder of the windfarms, while the other 49% will be acquired by an investment fund in which Kommunal Landspensjonskasse, MEAG Munich ERGO AssetManagement acting on behalf of various entities of Munich Re Group including ERGO, and Keppel Infrastructure Trust will each commit EUR 160 million.
Initially, the fund acquires an indirect ownership of 49% in three windfarms with a combined capacity of 258 MW (Lista Vindkraftverk AS, Fäbodliden Vindkraft AB and Högaliden Vindkraft AB) for a cash consideration of EUR 176 million. In addition to the three initial windfarms, the fund has an exclusive right and obligation to invest 49% in all onshore windfarm projects in the UK and Sweden that FORAS takes forward to Final Investment Decision (FID) until the EUR 480 million commitment is fully utilized or a period of five years has lapsed.
Mannheimer Swartling, in close co-operation with Thommessen, advised Fred. Olsen Renewables in the transaction.