Voltalia announces the launch of a capital increase with shareholders
Post date: 25/06/2019 - 21:38
French wind and solar power producer Voltalia announces the launch of a capital increase with shareholders’ preferential subscription rights in the amount of approximately €376 million ($428 million). Capital increase is secured by underwriting commitments from controlling shareholder Creadev, from long-standing investor Proparco, and from new investor European Bank for Reconstruction and Development (EBRD) for a total amount of approximately €283 million (75.3 percent of the total amount of the transaction).
The capital increase aims to provide the company with supplemental resources to finance its objective of having an installed or under construction capacity over 2.6 GW by 2023. In this respect, the company plans to allocate at least €300 million of the funds raised to the construction of 1.6 GW of new production capacity, beyond 1 GW installed capacity in 2020.
Construction of secured projects already identified with a capacity of 0.6 GW represent an equity investment of at least €130 million; and construction of other projects which are still in a development phase as of the date of the Prospectus, for a capacity of at least 1 GW represent an equity investment of at least €170 million
Furthermore, Voltalia is planning to invest in equity capital at least €50 million in countries where the EBRD is operating, such as Morocco, Tunisia, Egypt or Greece. The remaining amount of the funds raised could be used to finance potential bolt-on acquisitions, in particular in its new geographical zones in Africa, in Latin America or in Europe, or to develop the services activity of the company.