1. Home
  2. Business & Finance
  3. Norway’s Statkraft to divest renewables projects in four markets – EQ
Norway’s Statkraft to divest renewables projects in four markets – EQ

Norway’s Statkraft to divest renewables projects in four markets – EQ


In Short : Norwegian energy company Statkraft has announced plans to divest its renewable energy projects in four markets. This move signifies a strategic decision to reevaluate and potentially streamline its portfolio, reflecting changes in market dynamics or corporate strategy.

In Detail : OSLO : Norwegian renewable energies firm Statkraft is seeking buyers for projects in four non-core markets that it acquired as part of its purchase of Spanish company Enerfin, its CEO told Reuters.

Norwegian state-owned Statkraft acquired Spanish renewable energy company Enerfin from Elecnor Group in November, for 1.8 billion euros ($1.94 billion) in a move to strengthen its position in Spain and Brazil.

“When it comes to Enerfin, we will divest four countries in the portfolio there: Canada, the U.S., Columbia and Australia,” CEO Christian Rynning-Toennesen said in an interview.

The assets will be put up for sale in the open market for anyone interested, the CEO said, adding it was a large portfolio in all four countries with “many good projects”.

“It’s just that we don’t have the financial or organisational capacity to take on these four countries,” Rynning-Toennesen said.

The planned divestments include 467 megawatts (MW) of wind and solar assets either already operational, under construction or ready to build in Canada and Columbia, an overview provided by Statkraft showed.

In addition, it will offer a pipeline of wind and solar development projects totalling nearly 5,000 MW across the four countries.

The sales process is due to start in March, with Rothschild acting as advisor.

Statkraft’s core markets are in Europe, as well as India and South American countries Chile, Peru and especially Brazil.

In Brazil, the company inaugurated a 519 megawatt (MW) onshore wind farm earlier this month.

Closing of the Enerfin acquisition is planned for the second quarter of this year.

($1 = 0.9258 euros)

Anand Gupta Editor - EQ Int'l Media Network