- Inaugural transaction for CDPQ's $10-billion transition envelope dedicated to the
decarbonization of the heaviest-emitting sectors
MONTRÉAL, Nov. 4, 2022
/CNW Telbec/ -Global investment group CDPQ announced today that it
has provided part of the EUR 485
million (approximately CAD 650
million) acquisition financing to support the friendly
tender offer launched by KKR & Co. (NYSE: KKR), a leading
global investment firm, to acquire 100% of Albioma SA, a French
independent renewable energy producer. CDPQ is the main lender in
the transaction, alongside other commercial lenders and banks.
Albioma SA operates over 1 GW of installed capacity around the
world, through thermal, solar and geothermal power assets, mainly
in French metropolitan and overseas territories. As part of its
strategy to support the energy transition, the company aims to end
coal use by 2025 by pursuing the conversion of its coal fired power
plants into primarily residual biomass power plants and generate
100% of its electricity from renewable energy by 2030.
"Albioma SA provides essential infrastructure that delivers
renewable energy in French overseas territories and the company has
taken deliberate action to convert its operational thermal plants
away from coal. With this investment, we take a step forward in
tackling the complex challenge of decarbonizing heavy-emitting
sectors while supporting a longstanding partner, KKR, expand their
commitment to accelerating the energy transition," said
Marc Cormier, Executive
Vice-President and Head of Fixed Income at CDPQ.
"This first transaction as part of our transition envelope
represents how long-term capital can support the path towards a
more sustainable economy. This investment demonstrates CDPQ's
climate strategy at work across multiple investment approaches to
decarbonize the real economy and accelerate the energy transition,"
said Marc-André Blanchard, Executive Vice-President and Head of
CDPQ Global and Global Head of Sustainability.
In order to meet CDPQ's transition envelope criteria, a clear
and robust decarbonization plan aligned with the Paris Agreement
goals was required and reviewed by an independent expert. Albioma's
conversion plan to convert its thermal plants towards 100% biomass
fuel sources is underway, demonstrating the company's commitment to
the energy transition.
ABOUT CDPQ
At CDPQ, we invest constructively to
generate sustainable returns over the long term. As a global
investment group managing funds for public pension and insurance
plans, we work alongside our partners to build enterprises that
drive performance and progress. We are active in the major
financial markets, private equity, infrastructure, real estate and
private debt. As at June 30, 2022, CDPQ's net assets
totalled CAD
391.6 billion. For more information, visit
cdpq.com, follow us on Twitter or consult our Facebook or LinkedIn
pages.
CDPQ is a registered trademark owned by Caisse de dépôt et
placement du Québec and licensed for use by its
subsidiaries.
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SOURCE CDPQ