Scatec enters agreement to sell African hydropower assets to TotalEnergies in line with strategy
July 30 2024 - 2:01AM
UK Regulatory
Scatec enters agreement to sell African hydropower assets to
TotalEnergies in line with strategy
Oslo, 30 July 2024: Scatec ASA, a leading
renewable energy provider, has signed an agreement with
TotalEnergies to sell its 51 percent stake in the African
hydropower joint venture with Norfund and British International
Investment (BII), in line with the company’s strategy. The proceeds
from the transaction will be used to support Scatec’s self-funded
growth plan.
The sale covers Scatec’s indirect interest held
through SN Power of the operating 255 MW Bujagali hydropower plant
in Uganda, and a development portfolio consisting of the 361 MW
Mpatamanga in Malawi, and the 206 MW Ruzizi III at the border of
Rwanda, DRC, and Burundi. The joint venture was established in 2021
between Scatec and Norfund, the Norwegian investment fund for
business activities in developing countries, as part of the SN
Power acquisition. In 2022, BII joined as a co-investor. The
transaction supports the business continuity of the hydropower
activities on the continent, including commitments to projects and
stakeholders.
“Our decision to sell our African hydropower
assets is in line with our strategy to focus the largest share of
our investments in our core markets and on solar, wind and battery
energy storage, while divesting assets in non-focus markets. We are
pleased to announce today’s transaction, as we believe
TotalEnergies will be a strong asset owner going forward, with the
ability to further develop the projects and contribute to the
energy transition in Africa. We would like to thank the entire
hydropower team for their hard work and dedication over the years,
you have made a significant impact. In addition, our gratitude goes
to our joint venture partners, host governments, and lenders for
the support since 2020,” said Terje Pilskog,
Scatec CEO.
“This acquisition of renewable hydroelectric
assets and projects in Africa reflects our desire to contribute to
the continent's energy transition by bringing electricity to the
people of African countries. In particular, we are delighted to be
able to become a player in hydro power in Uganda, a country where
we are also developing a major oil project. This is another example
of TotalEnergies’ ability to implement its multi-energy strategy in
oil-producing countries to support them in their energy
transition,” said Patrick Pouyanné, TotalEnergies Chairman
and CEO.
The transaction is subject to conditions and
consents being received from stakeholders including lenders and
joint venture partners - and is scheduled to close within first
half of 2025. The transaction price and the final accounting
effects will be disclosed at closing of the transaction due to
commercial considerations.
For further information, please contact:
For analysts and investors: Andreas Austrell, VP IR, phone: +47 974
38 686, andreas.austrell@scatec.com
For media: Meera Bhatia, SVP External Affairs & Communications,
phone: +47 468 44 959, meera.bhatia@scatec.com
About Scatec
Scatec is a leading renewable energy solutions provider,
accelerating access to reliable and affordable clean energy
emerging markets. As a long-term player, we develop, build, own,
and operate renewable energy plants, with 4.6 GW in operation and
under construction across four continents today. We are committed
to grow our renewable energy capacity, delivered by our passionate
employees and partners who are driven by a common vision of
‘Improving our Future’. Scatec is headquartered in Oslo, Norway and
listed on the Oslo Stock Exchange under the ticker symbol
‘SCATC’. To learn more, visit www.scatec.com or
connect with us on LinkedIn.
This information is considered to be inside information pursuant to
the EU Market Abuse Regulation and is subject to the disclosure
requirements pursuant to Section 5-12 the Norwegian Securities
Trading Act.
This stock exchange announcement was published by Kine Aaltvedt,
IR Analyst at Scatec ASA, on 30 July 2024 at 08:00 CEST.
Scatec ASA (TG:66T)
Historical Stock Chart
From Sep 2024 to Oct 2024
Scatec ASA (TG:66T)
Historical Stock Chart
From Oct 2023 to Oct 2024