(Bloomberg) — French wind-farm developer Valorem SAS is poised to raise €200 million ($219 million) to fund future projects from AIP Management P/S and Credit Agricole SA.
Valorem got a “firm offer” for funding from the Danish pension fund manager and the French bank’s IDIA private equity unit, it said in a statement Monday. The company’s founders, their families and the group’s employees would continue to hold the majority of Valorem’s capital and voting rights.
At the same time, 3i Infrastructure Plc will sell its 33% stake in Valorem to AIP and other investors, the Danish firm said in a separate statement. The co-investors agreed to further capital commitments to finance Valorem’s “pipeline of projects to materialize in the coming years,” it said. UK-based 3i expects to net about €309 million from the sale.
The deals are a sign that investors remain eager to finance renewables, even as recent political turmoil — in both France and the European Union — points to voters’ unease about some green policies and the cost of the energy transition away from fossil fuels.
The fundraising, which includes an unspecified amount of bonds, will fund solar and wind farm construction in France in the short term, and in countries such as Poland, Finland and Greece around 2027 and 2028, Valorem Chief Financial Officer Tristan Maes said in an a interview with Bloomberg.
Both transactions are expected to be completed in the first quarter. Astris Finance, BNP Paribas and Lazard acted as financial advisers to Valorem.
Bloomberg previously reported on Valorem’s plan to raise funds and 3i’s plan to sell its stake.
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