Athena endorses asset purchase offers by Ardian, Glennmont

The board of Athena Investments A/S (CPH:ATHENA) recommends that the company’s shareholders vote in favour of accepting the offers made by Ardian Infrastructure and Glennmont Partners to purchase certain renewable energy assets.

As unveiled last week, Ardian and Glennmont are interested in buying Athena’s stakes in six wind and solar parks, located in Italy and Spain, with a combined capacity of 205.5 MW for a total purchase price of EUR 90.9 million (USD 102m).

On Monday, Athena said that Ardian and Glennmont have received an exclusivity period up to the date of signing, expected on June 5, 2019. It also gave more information about the offers, including that Glennmont is only looking to acquire the 100% interest in the 48.3-MW Minerva Messina wind farm in Italy by taking over Minerva Messina Srl for EUR 41 million. On the other hand, Ardian will pay EUR 49.9 million for a 50% stake in the 98.9-MW Monte Grighine wind farm and 100% of four other assets that were disclosed last week.

According to Athena’s board, the offered prices are fair from a financial point of view. It estimates that the transaction, if executed, will generate a capital loss of around EUR 29 million and will trigger an impairment on the value of the remaining portfolio of about EUR 8.5 million. The company’s full-year forecast will have the be updated due to the deconsolidation of the assets, which will have a negative impact on revenue and earnings.

At the same time, though, Athena’s board notes that the reviewed divestment will accelerate its portfolio rotation and will free the company from bearing the geo-political, operational and financial risks associated with the assets in question. Since 2018, Athena has been looking to transform itself into a diversified industrial holding and rebalance its portfolio in terms of businesses and geography.

(EUR 1.0 = USD 1.124)

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