French power utility Direct Energy has agreed to acquire France-based renewable energy power producer Quadran for about €303 million.
The company said it has entered into exclusive negotiations to acquire 100% of Quadran from Lucia Holding. The transaction, which is expected to be closed by the end of 2017, includes the acquisition of all Quadran’s on-shore wind power activities, solar, hydro-electric and biogas activities in France. This plant portfolio, according to Direct Energy, had reached 363 MW at the end of 2016.
Furthermore, Direct Energie reports that Quadran has a renewable energy power project portfolio of 450 MW for the period 2017-2018, and that of this, one third is represented by solar projects. Overall, this project portfolio has an estimated investment of €530 million.
“In addition, Quadran also has significant growth prospects thanks to a project portfolio at different levels of maturity, accounting for approximately 2,000 MW,” said Direct Energie in its press release.
The power utility added it has already secured several credit facilities with French financial services provider BNP Paribas, “which will finance all of its commitments.”
Quadran has recently commissioned a 12 MW PV power plant in Boulouparis in New Caledonia, a French overseas territory in the southwest Pacific Ocean. The company was created through the merging of two French renewable energy companies Aerowatt and JMB Énergie.
Direct Energy is France’s third largest power utility after EDF and Engie. The company was created in 2003, in a phase when the country’s power market was deregulating its power sector and opening it to private players. In 2008, the company also created the French independent power producer (IPP) which has built the 300 MW Cestas solar plant in France – Europe’s largest solar installation. Neoen is also active in several other solar markets such as El Salvador, Argentina, Zambia and Ireland among others.