Neoen sells Australian green power assets ahead of Brookfield takeover
Brookfield's green power investments have been multiplying and Neon's wider ambitions for Australia are undimmed, companies say
French renewables developer Neoen has agreed to sell a bundle of Australian generation and storage assets to ASX-listed asset manager HMC Capital, paving the way for its own acquisition by Canadian investment giant Brookfield.
The deal, valued at a total A$950m ($586m), covers 625MW in operating assets and a 2.8GW development pipeline, all located in the southeastern state of Victoria.
The operating asset portfolio comprises the Bulgana Green Power Hub, a 224MW combined wind farm and battery storage facility, plus the 128MW Numurkah Solar Farm and the Victorian Big Battery (300MW/450MWh).
The development pipeline includes over 1.5GW of wind and 1.3GW of battery storage.
Post-transaction, Neoen said it will still have 3.7GW capacity of wind, solar and storage assets in operation or under construction in Australia.
"Neoen has a robust development pipeline across the rest of Australia and is intending to reach 10GW in operation or under construction by 2030 in the country," the French company stated.
Jean-Christophe Cheylus, Neoen Australia’s CEO added: “We are extremely proud of the legacy of our Victorian portfolio – it represents a huge collective effort and a significant contribution to the State’s energy transition... with renewed focus, we now redouble our efforts towards realising our ambition of 10GW in Australia by 2030.”
Undimmed ambition
Neoen CEO Xavier Barbaro added: "This divestment is a necessary step for Neoen to begin a new chapter under Brookfield’s ownership. We remain fully committed to Australia, which is our largest country, and we look forward to benefiting from Brookfield’s support as we seek to further accelerate the energy transition in Australia and around the world.”
In its announcement, Neoen described HMC Capital as a leading ASX-listed diversified alternative asset manager with A$19bn of assets under management.
Neoen has a global portfolio of 8GW in wind, solar and storage assets in operation or under construction alongside a 20GW advanced development pipeline in France and the Nordics, as well as Australia.
Brookfield, which has been upping its investments in green power, entered into exclusive talks to acquire about 53% of Neoen's shares in May. The offer valued the French renewables developer at €6.1bn ($6.4bn).
Brookfield has said it plans to buy the remainder of the company at the same price through a mandatory cash tender offer, or "squeeze out".
Neoen's shareholders include Impala, a Paris-based investment company with a focus on sustainability, as well as the Fonds Strategique de Participations managed by ISALT, Cartusiai and Xavier Barbaro.