KKR to acquire Albioma for €485m

KKR & Co has made an offer to buy Albioma, an independent renewable energy producer in France, for €485m. CDPQ, the main lender in the transaction, alongside other commercial lenders and banks, has provided the acquisition financing to support the tender offer.

Albioma SA operates over 1 GW of installed capacity around the world, through thermal, solar and geothermal power assets, mainly in French metropolitan and overseas territories.

As part of its strategy to support the energy transition, the company aims to end coal use by 2025 by pursuing the conversion of its coal fired power plants into primarily residual biomass power plants and generate 100% of its electricity from renewable energy by 2030.

Present in France since 2002, KKR has so far invested more than €10bn in the country. You can learn more about KKR’s investment strategy in Europe at the Swiss Private Equity Conference.

Get the week’s top news delivered directly to your inbox – Sign up for our newsletter

In order to meet CDPQ’s transition envelope criteria, a clear and robust decarbonisation plan aligned with the Paris Agreement goals was required and reviewed by an independent expert. Albioma’s conversion plan to convert its thermal plants towards 100% biomass fuel sources is underway, demonstrating the company’s commitment to the energy transition.

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities.

KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life, and reinsurance products under the management of Global Atlantic Financial Group. 

Source: Private Equity Wire

Can’t stop reading? Read more