AIMCo to sell interest in Spanish power producer Eolia

Alberta Investment Management Corp has agreed to sell its 97.33 percent stake in Eolia Renovables de Inversiones, a Spanish renewable energy company. No financial terms were disclosed. The buyers are ENGIE and Crédit Agricole Assurances. AIMCo acquired Eolia in 2019 from Oaktree Capital Management.

PRESS RELEASE

AIMCo Announces Sale of Eolia Renovables

EDMONTON, AB, Nov. 11, 2021 /CNW/ – Alberta Investment Management Corporation, (“AIMCo”), on behalf of certain of its clients, announced today the sale of its 97.33% ownership stake in Eolia Renovables de Inversiones, S.C.R., S.A (“Eolia” or the “Company”) to ENGIE SA (“ENGIE”) and Crédit Agricole Assurances (“CAA”).

Eolia is a leading independent power producer in the Spanish renewable energy sector, engaged in the development, construction and operation of wind farms and solar photovoltaic plants. The Company currently manages a 899 MW portfolio of renewable energy assets with long-term contracted revenues under the Spanish Renewables regulatory regime, and has maintained an attractive renewables project pipeline of 1.2 GW in Spain.

AIMCo purchased a majority position in Eolia in 2019, and over the course of its holding period has implemented industry and governance best practices, including the recruitment of highly respected and qualified industry authorities to join AIMCo’s investment professionals on the board of directors. Working closely with Eolia’s strong management team, AIMCo expanded the number of employees at Eolia, adding core management capabilities that have helped the organization successfully meet the demands and challenges of a business that has grown rapidly through opportunistic M&A and in-house development.

“Since its acquisition of Eolia, AIMCo focused its efforts on collaborating with the management team in establishing a market leader. Today, Eolia is one of the largest independent renewable power producers in the country, with a proven track record of operational excellence and ESG best practices. Eolia’s success has meant that it has attracted significant market interest and the outcome of this sales process represents an outstanding financial outcome for AIMCo’s clients in support of their long-term investment objectives,” said Ben Hawkins, Senior Vice President, Infrastructure and Renewable Resources, at AIMCo.

“Today’s announcement is indicative of the important role that the renewables sector plays within European energy markets. AIMCo remains committed to investing on behalf of our clients in the long-term potential of both renewable and broader energy transition opportunities globally. The partnership of ENGIE and CAA, two globally recognized leaders in clean energy development, are well-positioned to lead Eolia through the next chapters in the Company’s development.”

Completion of the transaction is subject to the fulfillment of certain conditions including merger control clearance from relevant competition authorities, and is expected by Q1 2022.

AIMCo was advised by Cantor Fitzgerald and Linklaters.

ABOUT ALBERTA INVESTMENT MANAGEMENT CORPORATION

AIMCo is one of Canada’s largest and most diversified institutional investment managers with more than $150 billion of assets under management. AIMCo invests globally on behalf of 32 pension, endowment and government funds in the Province of Alberta.

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