Pension fund ABP to buy EUR 125m of renewables from DIF

Wind farm in southern France. Author: harmishhk. License: Creative Commons, Attribution-ShareAlike 2.0 Generic

July 14 (Renewables Now) - Dutch pension fund ABP will acquire wind and solar assets in France and Germany worth about EUR 125 million (USD 143m) as part of a larger deal with fund management company DIF.

DIF announced on Thursday it has agreed to sell the entire portfolio held by the EUR-572-million DIF Infrastructure II fund, including renewables, to APG Asset Management NV, which is acting on behalf of ABP. According to a separate statement from the latter, the deal is valued at more than EUR 700 million.

The overall sale involves 48 Public Private Partnerships (PPP), Private Finance Initiative (PFI) and renewable energy assets, including both solar and wind, across Continental Europe and the UK.

APG was chosen, following a competitive bidding process, as the preferred bidder for the acquisition of the whole portfolio of DIF II along with certain cross-shareholdings of the DIF Infrastructure III fund in 12 of the portfolio assets. DIF will continue to manage the portfolio through a new investment vehicle, with a 25-year term. The DIF II fund was launched in October 2008 with a 10-year life.

“It [the transaction] generates an excellent result for the DIF II investors, well above the Fund’s target return at inception, and will allow the Fund to be fully realised within its contractual life,” said Wim Blaasse, Managing Partner of DIF.

The transaction is expected to close this quarter, subject to EC clearance.

(EUR 1.0 = USD 1.142)

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Ivan is the mergers and acquisitions expert in Renewables Now with a passion for big deals and ambitious capacity plans.

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