Mainstream Renewable Power signs EUR1 billion equity investment deal with Aker Horizons to deliver 5.5 GW global build-out programme by 2023
- Aker Horizons of Norway to take a 75% equity stake in Mainstream Renewable Power ("Mainstream" or "The Company") valuing Mainstream at EUR1 billion including earn-out and subject to customary adjustments
- Agreement enables Mainstream to accelerate its global expansion plan to bring 5.5 Gigawatts (GW) of assets to financial close by 2023 ahead of a planned IPO
- Mainstream to continue to operate under its existing brand, with its current CEO and management team and its founder Dr Eddie O'Connor as Chairman
DUBLIN, Jan. 19, 2021 /PRNewswire/ -- Global wind and solar company, Mainstream Renewable Power, has signed an agreement with the renewable energy investment company Aker Horizons (a wholly owned subsidiary of Aker ASA) which will take a 75% equity stake in the company, subject to regulatory approval. The deal values Mainstream at EUR1 billion (including a potential earn-out of up to EUR 100 million in 2023 and subject to customary adjustments) which represents a significant return for shareholders of up to 5.5 times investment. The agreement paves the way for a rapid acceleration of Mainstream's global expansion plans to bring 5.5 Gigawatts (GW) of wind and solar assets to financial close by 2023.
The company, founded by Dr Eddie O'Connor in 2008, has significant interests across Latin America, Asia-Pacific and Africa, as well as in the global offshore wind sector, with over 1.2 GW of major capital projects currently under construction. Mainstream has a major market presence in Chile, Africa, and Vietnam, as well as assets in development in other countries including the Philippines, Australia, and Colombia. The company will remain focused on delivering its ~10 GW global development pipeline and growing its portfolio in existing as well as new markets, with the full backing of the Aker ASA group.
Under the terms of the agreement, the company will continue to operate as Mainstream, led by its CEO Mary Quaney and supported by its established and experienced leadership team. Eddie O'Connor will remain as Chairman, retaining a significant minority interest in the business and all existing shareholders will have the opportunity to reinvest alongside him ahead of a planned IPO of Mainstream within the next two to three years.