Scatec Solar pockets USD 515m in share sale, eyes more

Scatec Solar ASA (OSL:SSO) has secured NOK 4.75 billion (USD 514.7m/EUR 434.3m) gross from a private stock sale, seeking to repay debt and finance a recent acquisition.

The Oslo-based solar power producer said on Wednesday it has completed a placement of 20.65 million shares at a price of NOK 230 apiece. The offering price represents a 6.08% discount to the company’s 10-day volume weighted average trading price.

The shares were placed with Norwegian and international investors.

Scatec Solar will allocate the raised funds to partly refinance an acquisition loan of USD 700 million (EUR 590.6m) for the purchase of SN Power. Under an agreement from earlier this week, it will buy the Norwegian state-owned hydropower developer from Norfund, the government’s investment fund for developing countries, for USD 1.166 billion.

Any remaining cash will be used for growth capital and general corporate needs.

The settlement of the private placement is scheduled for October 23, 2020. BNP Paribas, DNB Markets, JP Morgan AG, Nordea Bank Abp, SpareBank 1 Markets AS and Swedbank AB have been hired as joint bookrunners.

Scatec Solar also announced it will hold a subsequent share offering of up to 2.07 million new shares. It will be conducted at the same price and conditions as the just-completed placement.

(NOK 1.0 = USD 0.108/EUR 0.091)

(USD 1.0 = EUR 0.844)

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