Impax to acquire 75 MW of Finnish wind projects

Sep 5, 2013 - UK-based Impax Asset Management Group (LON:IPX) said Thursday it had agreed to acquire wind projects in Finland with a planned capacity of 75 MW for an undisclosed amount.

The buyer is the Impax New Energy Investors II (NEF II) fund, while the vendors are Finnish state-run utility Fortum Oyj (HEL:FUM1V) and Metsahallitus, a state-owned entity which administers land in Finland. They hold 51% and 49%, respectively, in the 50-MW Kuolavaara-Keulakkopaa project and in the 25-MW Joukhaisselka wind scheme. The bigger project in Kittila and Sodankyla municipalities will include 17 turbines, while the other envisages the erection of eight to 10 machines in Sodankyla municipality.

This is the first acquisition in Finland for NEF II, which plans to pursue additional purchases in the country. Risto Andsten, vice president renewable energy at Fortum, explained that the disposal corresponded to the company’s strategy to focus its green activities on hydropower, biofuels, solar and wave power.

The transaction is expected to wrap up in the first three months of 2014, but the sellers first need to have in place all permits for the two projects, Impax said. The company plans to raise project financing for the wind farms’ construction.

The EUR-330-million Impax NEF II closed in August 2011. Its portfolio includes over 200 MW of wind projects in construction and operation in France, Germany and Poland, plus solar investments in Italy. Following this latest agreement, Impax NEF II has made investment to over 60% of its total commitments.

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