Tag Archives: Energy

TPG Rise Climate Forms Strategic Partnership with KKR as New Majority Shareholder in A-Gas

KKR

LONDON, UK; SAN FRANCISCO, USA – August 17, 2023 – A-Gas, the global leader in the supply and lifecycle management of refrigerant gases, today announced that its owners, including majority owner KKR, have entered into a definitive agreement to sell a majority stake in the company to TPG Rise Climate, the dedicated climate investing strategy of TPG’s global impact investing platform, TPG Rise. KKR will remain a significant minority shareholder in the business, continuing to work in collaboration with TPG Rise Climate and the A-Gas Leadership Team. The transaction is expected to be completed by the end of 2023, subject to customary closing conditions, including certain regulatory approvals. Additional terms of the transaction were not disclosed.

“We are thrilled to be taking the next step of our sustainability journey, and to be further scaling our Lifecycle Refrigerant Management operations, with the backing of TPG Rise Climate,” said Jack Govers, Chief Executive Officer of the A-Gas Group. “We have a long history of being at the forefront of refrigerant gas recovery and reclamation, effectively lowering potential emissions to the atmosphere, and this investment from TPG is validation of our growth strategy and the quality of our products and services. We look forward to building on our success by executing a number of organic and inorganic growth initiatives.”

“We are also grateful for the value that KKR has delivered to our business. KKR’s support, funding, and global platform have enabled us to significantly accelerate our growth into new markets and geographies, while also developing new sustainability-driven capabilities, and building our market leadership. I am delighted that our people and our customers will continue to benefit from their support,” Govers added.

For over 30 years, through its first-class recovery and reclamation processes, A-Gas has been at the forefront of capturing refrigerant gas for future re-use or safe destruction, creating a closed-loop system that prevents its harmful release to the atmosphere. The company’s proprietary gas separation and recovery technology effectively abated approximately 8 million metric tonnes of CO2e in 2022, the equivalent to removing over 1.6 million cars from the roads for a year.

Over the past three decades, A-Gas has extended its market leadership into new growth verticals such as on-site Rapid Recovery of refrigerant gas, the safe destruction of legacy gases, and the generation of carbon credits. The company has also continued to significantly expand its global presence during KKR’s investment period, entering new markets across Europe, such as Germany, the Netherlands, and Italy, while substantially scaling the company’s operations in the US, entering Canada with the construction of a new refrigerant recovery and reclamation facility in Ontario, as well as expanding in Asia through the acquisition of a Japanese refrigerant reclamation and destruction company. Since KKR’s acquisition, which was made through KKR European Fund IV in 2017, A-Gas has grown revenue by 14% and EBITDA by 18% on average annually.

“Our investment in A-Gas is a thematic play on the increasing importance of establishing circular economies in critical industries. A-Gas’ highly differentiated gas recovery and reclamation technology closes the loop in the refrigerant gas lifecycle and thereby prevents the common venting of used refrigerant gases into the atmosphere at their end-of-life, which can have a Global Warming Potential that is several thousand times higher than that of emitting CO2,” said Joerg Metzner, Business Unit Partner at TPG Rise Climate. “A-Gas will play a leading role towards a more sustainable and circular refrigerant gas value chain globally as demand for refrigerants continues to grow and regulatory scrutiny and enforcement increase.”

Mattia Caprioli, Co-Head of European Private Equity at KKR, commented: “A-Gas plays a critical role in the circular economy for refrigerant gases, and in supporting environmental targets to fight climate change and global warming. We have been proud to work with Jack Govers and the A-Gas team over the past years, building market-leading capabilities for the recovery and reclamation of used gases, and positioning the business to benefit from future growth in gas reclamation and destruction opportunities globally. We believe the addition of TPG Rise Climate’s market expertise, particularly in the US carbon credit market, is a great fit for the future, and we look forward to working alongside Joerg, Jack and their respective teams to continue to build on A-Gas’s unique proposition globally.”

Citi acted as financial advisor to TPG in relation to the transaction. Goldman Sachs International acted as financial advisor to A-Gas and KKR, while Simpson Thacher & Bartlett acted as KKR’s legal advisor.

The transaction marks a full exit for minority investor, LDC, following a successful 12-year strategic partnership.

 

— ends —

 

About A-Gas Group

A‑Gas is the world leader in the supply and lifecycle management of refrigerants and associated products and services. Through our first-class recovery, reclamation, and repurposing processes, we capture refrigerants and fire protection gases for future re-use or destruction, preventing their harmful release into the atmosphere.

For over 30 years, A-Gas has supported our clients and partners on their environmental journey by supplying lower global warming gases and actively increasing the circularity of the industries we serve, building a sustainable future.

For more information, please visit www.agas.com.

 

About TPG Rise Climate

TPG Rise Climate is the dedicated climate investing strategy of TPG’s $18 billion global impact investing platform TPG Rise. TPG Rise Climate pursues climate-related investments that benefit from the diverse skills of TPG’s investing professionals, the strategic relationships developed across TPG’s existing portfolio of climate-focused companies, and a global network of executives and advisors. The fund takes a broad-based sector approach to investment types, from growth equity to value-added infrastructure, and focuses on climate solutions in the following thematic areas: clean electrons, clean molecules and materials, and negative emissions. Jim Coulter, TPG Founding Partner and Executive Chairman, serves as Managing Partner of TPG Rise Climate. Former U.S. Treasury Secretary Hank Paulson serves as TPG Rise Climate’s Executive Chairman.

For more information, please visit www.therisefund.com/tpgriseclimate

 

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

 

Media Contacts:

 

A-Gas Group
Ken Logan
+44 7495 485356
ken.logan@agas.com

 

TPG
US
Ari Cohen
+1 415-743-1550
media@tpg.com

Europe
Michael Russell or Daniel Oliver
tpg@greenbrookadvisory.com

 

KKR
Annabel Arthur
+44 7554 919 491
annabel.arthur@kkr.com

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Carlyle to sell Assala Energy to Maurel & Prom

Carlyle
  • Over the course of its ownership, Carlyle has worked with the Assala management team to support the company’s growth and rejuvenate its assets, investing in operations, infrastructure and M&A
  • Under Carlyle’s ownership, Assala increased its net production by approximately 30% to 45 kbbl/d and its reserves life from five to eight years

Libreville, Gabon – Global investment firm Carlyle (NASDAQ: CG) today announced that it has agreed to sell Assala Energy (“Assala”), an upstream oil exploration and production company operating in Gabon, to Etablissements Maurel & Prom SA (“M&P”), an oil and gas exploration and production company listed on Euronext.

Carlyle invested in Assala in 2017 through Carlyle International Energy Partners, a private equity fund that invests in energy opportunities in Europe, Africa, Latin America and Asia. During its period of ownership and in partnership with the Assala management team, Assala has become a successful stand-alone company, adding reserves, upgrading production facilities and infrastructure, and executing strategic M&A.

Thanks to significant investment (in excess of $1.3 billion over the Carlyle investment period) and operational excellence, Assala has been transformed into one of the leading independent exploration and production companies in West Africa. Since Carlyle’s acquisition, Assala has increased net production by c. 30% to approximately 45 kbbl/d and, based on current production, has extended reserve life from five to eight years at the end of 2022, with a reserves replacement ratio of over 160% over the investment period. Assala also resumed exploration activity in 2020 to support the company’s longer-term growth.

Carlyle and the Assala management team have worked closely together to accelerate the decarbonization of the company. Since 2020, Assala has reduced its Scope 1 and 2 emissions by approximately 20%, primarily through methane leak detection and prevention, gas re-injection, the reduction of flaring and the shutting in of wells with excessive gas production.

David Roux, CEO of Assala, said: “We want to thank Carlyle for its financial and strategic support throughout Assala’s growth journey, from the initial carve out from Shell in 2017 to the successes of higher production and reserves growth, which were delivered to best practice and international ESG standards by our exceptional team. We also want to thank the Government of Gabon for the support it provided throughout this intensive investment and redevelopment period. We are proud of our accomplishments so far and look forward to our business’s next stage of growth. The combination with M&P will create a great platform, with its business anchored in Gabon and a continued focus on creating value for its employees, local communities, governments and shareholders.”

Bob Maguire, Co-Head of Carlyle International Energy Partners, said: “We are proud to have worked alongside David and his team in the transformation of Assala over the past six years. By investing in the company’s facilities and infrastructure to increase production and reserve life — while at the same time decarbonizing its operations — Carlyle has helped Assala become a responsible operator, employer and partner and has enabled it to contribute significantly to the sustainable economic future of Gabon’s energy industry.”

Guido Funes Nova, Co-Head of Carlyle International Energy Partners, said: “Our investment in Assala is a great example of how Carlyle works in partnership with management teams to deliver long-term value from mature assets for the benefit of our investors as well as the local economy and communities, while reducing emissions intensity. Assala is now one of the most efficient and skilled operators of mature onshore assets in Sub-Saharan Africa, with a long runway for future sustainable value creation.”

Citi acted as financial advisor and Latham & Watkins as legal advisor to Carlyle on this transaction.

—

About Assala 

Assala is an oil and gas exploration and production company, with operations in Gabon. Assala’s business model is to invest in mid-life and mature assets, improving operational efficiency and production levels, while responsibly extending field life cycles through reserves replacement and in compliance with international best practice Environment, Social and Governance standards. In line with Assala’s Values and corporate culture, the company is committed to contributing to the national and local economies of its host countries, while complying with its international obligations on transparency.

About Carlyle

Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across its business and conducts its operations through three business segments: Global Private Equity, Global Credit and Global Investment Solutions. With $385 billion of assets under management as of June 30, 2023, Carlyle’s purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest. Carlyle employs more than 2,200 people in 29 offices across five continents. Further information is available at www.carlyle.com. Follow Carlyle on Twitter @OneCarlyle.

Media contacts

Carlyle:
Charlie Bristow
charlie.bristow@carlyle.com
+44 7384 513 568

Assala Energy:
Caroline Sourt
+34 (0) 638 976 262
caroline.sourt@assalaenergy.com

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Blackstone Closes Record Energy Transition Private Credit Fund at Over $7 Billion

Blackstone

Largest private credit energy transition fund ever raised1

NEW YORK – August 10, 2023 – Blackstone (NYSE: BX) today announced the final close of its energy transition credit fund, Blackstone Green Private Credit Fund III (BGREEN III). BGREEN III closed at its hard cap of $7.1 billion, representing the largest energy transition private credit fund ever raised.

Dwight Scott, Global Head of Blackstone Credit, said: “Blackstone has built a premier platform focused on private credit in the energy transition and infrastructure markets. We are grateful for the trust from our limited partners and look forward to investing in this favorable market environment.”

Robert Horn, Global Head of the Sustainable Resources Group for Blackstone Credit, said: “The energy transition is impacting large sectors of the economy and is resulting in a growing need for efficient private capital. We believe our experience and scale will enable Blackstone Credit to deliver flexible solutions to companies driving this historic transition and generate compelling returns for our investors.”

BGREEN III is managed by Blackstone Credit’s Sustainable Resources Platform, which focuses on providing private credit to the renewable energy, infrastructure, and energy transition marketplace. The Platform has approximately 40 investment professionals across North America, Europe, and Asia and invests across the credit spectrum in investment grade credit, non-investment grade credit, preferred and convertible securities. In 2022, Blackstone announced that it sees an opportunity to invest an estimated $100 billion in energy transition and climate change solutions projects over the next decade across its businesses.

Blackstone Credit
Blackstone Credit is one of the world’s largest credit-focused asset managers. Blackstone’s Credit and Insurance segment has $295 billion in AUM. Blackstone Credit seeks to generate attractive risk-adjusted returns for our clients by investing across the entire corporate credit market, from public debt to private loans. Our capital supports a wide range of companies across sectors and geographies, enabling businesses to expand, invest, and navigate changing market environments.

1 Source: Preqin, Pitchbook, company websites, and publicly available information as of August 5, 2023. BGREEN III commitments included in this figure are as of August 8, 2023 to reflect final closing amount. Analysis based on universe of private credit funds closed since 2006 with fund sizes of $7B or greater.

Contacts
Kate Holderness
Kate.Holderness@Blackstone.com
646-482-8774

Mariel Seidman-Gati
Mariel.seidmangati@Blackstone.com
917-698-1674

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Alantra strengthens its Energy Transition offering with the creation of a highly specialized advisory business

Alantra
  • The new team led by José María Zabala (Managing Director) offers specialized advisory services to corporates willing to transform their energy models and to energy companies and investors aiming to lead the energy transition
  • The creation of this business offers strong synergies with Alantra’s investment banking and alternative asset management divisions, in which c. 70 of the Firm’s professionals are dedicated to the energy transition
  • This is a new step in creating a best-in-class cross-sector offering for energy related topics. Earlier this year, the Firm announced the hire of François de Rugy, former French energy transition minister, and Nemesio Fernandez-Cuesta, former Spanish Secretary of State for Energy and former Chairman of Eolia Renovables, as co-chairmen of Alantra’s Energy Transition Group

Madrid – Alantra, the independent global mid-market financial services firm, has created a highly-specialized Energy Transition Advisory business, which will complement Alantra’s Energy Transition Group, offering advice to corporates, energy companies and investors aiming to lead the energy transition. The business is led by José María Zabala who joined Alantra as Managing Director and has more than 15 years of international experience in strategy consulting, energy, sustainability, and climate resilience. Prior to Alantra, he co-founded energy consulting firm MRC Consultants and Transaction Advisers. Alantra aims to further strengthen the team with additional hires this year.

As energy has developed from a commodity to a strategically important asset, companies in a wide range of sectors, such as industrials, transportation, agriculture and food or tech, need an energy strategy adapted to the new reality.

Alantra created the Energy Transition Group, co-led by François de Rugy and Nemesio Fernandez-Cuesta, as a response to two macroeconomic needs:

  • to help investors, companies, and entrepreneurs looking to transform their energy models and drive sustainable innovation in clean energy technology or renewable energy infrastructure
  • to help energy companies and investors diversify their activities and portfolios, which will be key enablers for the decarbonization process

The hires for the new Energy Transition Advisory business reinforce Alantra’s position as a best-in-class player in the energy transition space, in which c. 70 of its professionals work on sustainable and green M&A deals and on raising and investing capital in clean energy infrastructure and innovation.

The Energy Transition Advisory team is already working with more than ten different clients on market advisory as well M&A and debt advisory projects, and enabling the development of solar, hybrid plants, Battery Energy Storage Systems, and renewables gases, among others. Additionally, Alantra is building an offering to help corporates invest in their decarbonization processes.

Alantra’s track record in the energy transition space includes c. 70 sustainable and green deals advised in investment banking in the past five years, including advising Audax Renovables on the origination, structuring and closing of a Market Access partnership with Shell Energy Europe; KKR on the sale of a minority stake in CMC Machinery to Amazon’s Climate Pledge Fund; Solaria on a recap refinancing of two solar PV projects; and BiFire on its IPO on Euronext Growth Milan.

In Asset Management, Alantra is currently aiming to mobilize c. €2bn for solar infrastructure and clean energy innovation, building on its experience in launching Eolia Renovables in 2007. The Alantra Solar team will develop 55 solar parks in Spain and Italy, and Klima, Alantra’s Energy Transition Fund, which closed at its €210m hard cap, has already completed five investments, including onsite power generation provider MainSpring Energy based in the US or Europe’s largest OTC energy trading platform Enmacc based in Germany.

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DBAG elevates the energy transition and invests in Avrio Energie

Deutsche_Beteiligungs_AG
  • DBAG advances sustainable energy solutions through its investment
  • Biogas plant generates 77 gigawatt hours (GWh) per year

Frankfurt/Main, 5 July 2023. Deutsche Beteiligungs AG (DBAG) invests in best in-class biogas platform Avrio Energie. The investment is made alongside a fund advised by DBAG that will acquire a majority stake in Avrio Energie from family-owned Leyendecker Group. DBAG will contribute both financial resources and expertise to support the company’s expansion plans. The founders of Avrio Energie will retain a material minority share, ensuring a seamless continuation and even acceleration of the corporate strategy by capitalizing on their extensive industry experience. Consummation of the purchase agreement is expected end of July 2023. The parties have agreed not to disclose the terms of the sale.

This investment underscores DBAG’s commitment to supporting sustainable solutions by actively participating in the energy transition with further capital earmarked to expanding Avrio Energie’s business.

“By investing in Avrio Energie, we are taking a major step towards promoting a greener future and supporting the transition to renewable energy sources,” stated Tom Alzin, Spokesman of the Board of Management of Deutsche Beteiligungs AG. “We believe that biogas has immense potential in mitigating climate change and meeting the growing demand for sustainable energy solutions. Avrio Energie’s expertise in operating biogas plants positions them as a key player in this field, and we will support them in pursuing its organic growth and buy-and-build strategy.”

Avrio Energie, which is part of the family-owned Leyendecker Group headquartered in Frankfurt/Main, has established itself as a best-in-class operator of renewable energy plants. Their portfolio comprises a cutting-edge biogas plant that generates both electricity as well as biomethane (renewable natural gas) from agricultural produce as well as animal manure. Thereby the company supports the improvement of its clients’ CO2 footprint. The renewable natural gas finds its application both in energy generation as well as in green fuels.

Felix Becker, Co-Founder and Co-Managing Director, Avrio Energie, said: “We are delighted to welcome DBAG as an investor who shares our vision of deploying capital into the biogas sector as an important contributor to the ongoing energy transition. This investment will enable us to accelerate our growth plans and expand our operations, ultimately contributing to a more sustainable environment.”

“DBAG’s investment is a testament to our achievements and the potential of biogas as a renewable energy source. With their support, we strengthen our ability to drive innovation, reduce emissions and play a key role in shaping the renewable energy market,” said Lars Sittauer, Co-Founder and Co-Managing Director of Avrio Energie.

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LEAG and ESS to Develop Clean Energy Hub for Germany

Pangea Ventures

LEAG to develop up to 14 GW of renewable generation paired with 2-3 GWh of energy storage and 2 GW of green hydrogen production

Today, ESS Tech Inc. (NYSE:GWH) (“ESS”), a leading global manufacturer of long-duration energy storage systems, and LEAG, a major German energy provider, signed an initial agreement to accelerate the clean energy transition through the deployment of renewable generation and long-duration energy storage (LDES) using ESS iron flow battery technology.

Following the execution of definitive agreements and normal financial close, anticipated in Q3 2023, LEAG and ESS plan to build a 50 MW / 500 MWh iron flow battery system at the Boxberg Power Plant site, to be commissioned in 2027. The resulting 50 MW/500 MWh module is expected to become a standardized building block in LEAG’s plan to deploy 2-3 GWh of storage in the transformation of the LEAG power plant locations. LEAG and partners plan to invest €200 million with further support anticipated from additional investors and stakeholders.

ESS has developed an iron-based LDES technology which uses safe and sustainable battery chemistry to deliver low-cost, utility-scale energy storage. ESS technology is currently manufactured at the company’s facilities near Portland, Oregon, USA. ESS systems have already been deployed in commercial microgrid systems, with utility-scale projects underway in the USA and Australia.

“We look forward to partnering with LEAG to develop the model for utilities and communities worldwide transitioning from coal to clean, renewable energy,” said Eric Dresselhuys, CEO of ESS. “The deployment of renewables and long-duration energy storage will not only deliver reliable, clean energy to effectively replace the baseload power currently provided by coal, it will deliver economic opportunity and a cleaner environment for Germany.”

LEAG is a leading operator of large-scale lignite mining and coal-fired generation in Eastern Germany that is implementing a vision to transform the coal-dependent region into Germany’s Green Powerhouse. The company plans to develop 7-14 GW of renewable generation paired with 2-3 GWh of energy storage and 2 GW of green hydrogen production. Combined, these technologies will create a net-zero-carbon baseload energy system. When fully operational, LEAG expects to demonstrate a renewable energy system at scale which not only replaces baseload coal generation, but uses short-duration storage, LDES and hydrogen to replace natural gas for grid balancing.

“A key requirement for our transformation into Germany’s Green Powerhouse is the deployment of cost-effective Long-Duration Energy Storage. We are energized to demonstrate the value of iron flow battery technology at scale,” said Thorsten Kramer, CEO of LEAG. “The Energy Resilience Leadership Group and Breakthrough Energy have provided an ideal framework to drive rapid technology development and deployment to meet emissions goals as soon as possible.”

LEAG and ESS have joined the Energy Resilience Leadership Group (ERLG), a multi-stakeholder initiative led by Breakthrough Energy and Siemens Energy that brings together corporate CEOs, political leaders, financial institutions, and startups at the technology frontier. The Group was launched at the 2023 Munich Security Conference with the goal to enhance Europe’s energy resilience by rapidly bringing emerging climate technologies to scale. ERLG forges partnerships between startups and corporates to work towards deploying commercially viable projects within 24 months. The project of LEAG and ESS is one of the projects that the ERLG network is helping to accelerate.

“We are pleased to support a long-term strategic relationship between energy and technology experts LEAG and ESS through the Energy Resilience Leadership Group,” said Philipp Offenberg, Senior Manager, Europe at Breakthrough Energy. “Delivering green baseload power thanks to scalable, long-duration energy storage will not only solve a major challenge to decarbonization. It will also enhance Europe’s energy resilience, because less natural gas will be needed for backup power generation in the future.”

Summary:

U.S. energy storage technology manufacturer ESS Tech, Inc. and German energy provider LEAG cooperate to scale up iron-flow technology to provide long-duration energy storage as part of LEAG’s strategy to become Germany’s Green Powerhouse.

Breakthrough Energy supports the cooperation / project within the programme of Energy Resilience Leadership Group (ERLG).

First phase: demonstration of 50 MW / 500 MWh iron flow battery system at the Boxberg Power Plant to be operational by 2027.

Project expected to catalyze the sustainable transformation of a major German coal mining and energy generation region.

About the Energy Resource Leadership Group:

The Energy Resilience Leadership Group is a multi-stakeholder initiative led by Breakthrough Energy and Siemens Energy that brings together corporate CEOs, political leaders, financial institutions, and startups at the technology frontier. The Group was launched at the 2023 Munich Security Conference with the goal to enhance Europe’s energy resilience by rapidly bringing emerging climate technologies to scale. ERLG forges partnerships between startups and corporates to work towards deploying commercially viable projects.

About ESS Tech Inc.:

At ESS (NYSE: GWH), our mission is to accelerate global decarbonization by providing safe, sustainable, long-duration energy storage that powers people, communities and businesses with clean, renewable energy anytime and anywhere it’s needed. As more renewable energy is added to the grid, long- duration energy storage is essential to providing the reliability and resiliency we need when the sun is not shining and the wind is not blowing.Our technology uses earth-abundant iron, salt and water to deliver environmentally safe solutions capable of providing up to 12 hours of flexible energy capacity for commercial and utility-scale energy storage applications. Established in 2011, ESS Inc. enables project developers, independent power producers, utilities and other large energy users to deploy reliable, sustainable long-duration energy storage solutions. For more information visit www.essinc.com.

[Forward-Looking Statements]

This communication contains certain forward-looking statements regarding ESS and its management team’s expectations, hopes, beliefs, or intentions regarding the future. The words “estimate”, “expect”, “will” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Examples of forward-looking statements include, among others, statements regarding the Company’s ability to execute on orders and the Company’s relationships with customers. These forward-looking statements are based on ESS’ current expectations and beliefs concerning future developments. Many factors could cause actual future events to differ materially. Except as required by law, ESS is not undertaking any obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Contacts

For further information please contact:

LEAG Kathi Gerstner I kathi.gerstner@leag.de I +49 1723497384

ESS Morgan Pitts I morgan.pitts@essinc.com I +1 503-568-0755

Breakthrough Energy Alison Menon I alison@breakthroughenergy.org I + 1 (202) 468 0839

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Investcorp acquires leading Chinese renewable energy critical components manufacturer Shandong Jianuo Electronics Co. Ltd.

Investcorp

17 May 2023

Investcorp, a leading global alternative investment firm, announced that it has completed the acquisition of a controlling stake in Shandong Jianuo Electronics Co. Ltd. (“Jianuo”). Operating out of the Shandong Province and China’s Greater Bay Area, Jianuo is a leading provider of specialty premium components used in fast-growing high-end applications such as electric vehicles power management, battery charging infrastructure, solar and wind power generation, and 5G base station infrastructure.

Jianuo is well-positioned to benefit from the domestic and international drive for energy transition, decarbonization and increasing automation. It has become a highly regarded Research and Development and advanced manufacturing partner to a wide group of global providers of alternative energy solutions including in the US, Europe and Japan.

The acquisition represents a continuation of Investcorp’s strategy of investing in and scaling category-leading growth companies with deep engineering and technology know-how, particularly those with a strong sustainability mission.

Commenting on the acquisition, Hazem Ben-Gacem, Co-CEO of Investcorp, said: “The shift to a low-carbon economy will create entirely new industries and value chains within the next five to 15 years, and Jianuo is right at the heart of that evolving trend. This acquisition reflects our strategy of investing in innovative and growing mid-sized companies and offering investors high-quality alternative investment opportunities in future-focused industries that are key to the global energy transition efforts. This acquisition marks our first control buyout in China. Investcorp is pleased to partner with Jianuo and to leverage our long-standing global expertise in elevating family-run businesses into institutionally managed global players.”

Duncan Zheng, Head of Private Equity China at Investcorp, added: “We look forward to partnering with Jianuo’s founders, management and over 400 employees as we embark on the next phase of Jianuo’s growth journey. Jianuo is well-positioned to expand and deepen its strong relationships with leading global renewable energy players through its extensive R&D capabilities and proprietary manufacturing know-how in producing innovative specialty components.”

Wang Chuanli and Wang Chuanwei, Jianuo’s Co-Founders, said: “We are pleased to partner with Investcorp as we bring our family business into its next stage of corporate evolution. We remain committed to Jianuo and look forward to expanding its operations into new markets. Through Investcorp’s global platform, we will be able to better serve our existing and new customers in leading the alternative energy transition.”

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Ardian signs agreement to sell ASR Wind to Naturgy

Ardian

The sold portfolio includes 12 wind farms with an installed capacity of 422 MW, spread throughout Spain.
• The portfolio also includes a hybrid photovoltaic farm of 435 MW developed by AGR-AM, a renewable asset manager operating exclusively for Ardian in Spain and Latin America.
• The transaction is expected to be completed by the end of July, subject to Naturgy receiving approval from relevant authorities.

Ardian, a world-leading private investment house, has agreed to sell ASR Wind, a portfolio of 12 wind farms, to Naturgy, the Spanish renewable energy group. The wind farms are in different regions across Spain. Commissioned between 2005 and 2012, the farms have an installed capacity of 422 MW.

Ardian has used the ASR Wind platform to manage other renewable energy projects in Spain and Italy, totaling 1GW, which were excluded from this transaction.

Ardian acquired 95% of the ASR Wind portfolio in 2019, representing the first investment of its fifth-generation fund, Ardian Infrastructure Fund V. The remaining percentage is held by Exus Management Partners, which will also exit the company’s ownership following the transaction.

“This transaction marks a milestone moment for Ardian’s Infrastructure strategy. Our team is now a pioneer in Spain in developing wind-solar hybrid systems, optimizing their production capacity and improving their industrial value. The attractiveness of this type of asset has also been demonstrated by the strong interest it has received in the market. Furthermore, we will continue to develop our remaining 1GW portfolio with AGR-AM and continue to create value.” Juan Angoitia, Co-Head of Infrastructure Europe, Ardian

The closing of the transaction is scheduled for the end of July, once Naturgy has completed the competition procedures required by the authorities.

Commitment to Spain

Alongside the management of wind farms, the company is driving several other value-creating initiatives, including the hybridization of wind assets with solar photovoltaic power generation systems led by AGR-AM, the renewable asset manager dedicated exclusively to Ardian’s portfolio in Spain and Latin America.

The hybridization of wind assets with solar photovoltaic production systems is particularly noteworthy. The 435 MW of hybrid photovoltaic farms included in the sale are currently being developed as part of a pioneering project in Spain, maximizing the quality of connection points and stabilizing the energy production of the assets once hybridized.

Participants

  • ARDIAN

    • Financial advisors: Santander CIB and BBVA CIB
    • Legal advisor: Clifford Chance

ABOUT ARDIAN

Ardian is a world-leading private investment house, managing or advising $150bn of assets on behalf of more than 1,400 clients globally. Our broad expertise, spanning Private Equity, Real Assets and Credit, enables us to offer a wide range of investment opportunities and respond flexibly to our clients’ differing needs. Through Ardian Customized Solutions we create bespoke portfolios that allow institutional clients to specify the precise mix of assets they require and to gain access to funds managed by leading third-party sponsors. Private Wealth Solutions offers dedicated services and access solutions for private banks, family offices and private institutional investors worldwide. Ardian is majority-owned by its employees and places great emphasis on developing its people and fostering a collaborative culture based on collective intelligence. Our 1,050+ employees, spread across 16 offices in Europe, the Americas, Asia and Middle East are strongly committed to the principles of Responsible Investment and are determined to make finance a force for good in society. Our goal is to deliver excellent investment performance combined with high ethical standards and social responsibility.
At Ardian we invest all of ourselves in building companies that last

ardian.com

Press contact

ARDIAN

HEADLAND

ardian@headlandconsultancy.com  

 

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Sustainable Use of Electric Vehicle Batteries – Voltfang Secures €5 Million Financing

Helen Ventures

Voltfang, the clean-tech startup for energy storage from second-life electric vehicle batteries, has secured €5 million in new capital to scale its production. The consortium is led by the lead investor PT1 – PropTech1 Ventures. Other investors include Helen Ventures, Aurum Impact, Eviny, and the existing investor AENU.

Helen Ventures has been following the fast-growing trend of batteries closely over the past years. “We are excited about our investment in Voltfang. It is evident that a huge uptake of batteries is underway in the electricity system, and it is also evident that second-life batteries will be an important part of this in solving sustainability and cost hurdles,” says Mikael Myllymäki, Vice President and Head of Helen Ventures. “We are very impressed by the agility and customer-focus of the Voltfang team as they have brought their solution to market. It is a privilege to join supporting the team together with such a quality group of investors.”

Voltfang provides a solution to both the battery recycling problem and the energy transition with its high-quality energy storage systems made from used electric vehicle batteries. The Aachen-based startup enables the reuse of EV batteries through a specially developed AI-based software that evaluates battery longevity. “We give the battery a second life in stationary operations. With the help of our operating systems and continuous monitoring, we can make our batteries just as durable as new batteries. We guarantee this with our 10-year Batteryflat,” says David Oudsandji, Co-CEO of Voltfang. The company has already conducted several successful pilot projects in Germany and has won major customers such as ALDI Nord and Schaltbau.

“In ten years, there will be no new batteries in the commercial sector,” says Roman Alberti, Co-CEO of Voltfang. This is not only about the sustainable recycling of batteries but also about saving on material imports and, above all, costs. “With the help of our energy management system, our storage systems can be intelligently deployed, allowing the battery to be amortized as quickly as possible,” explains Roman Alberti.

“We can connect urgently needed capacities to the grid in the coming years to ensure grid stability. This is not only an advantage for our customers but for anyone who wants to avoid blackouts,” explains Afshin Doostdar, CTO of Voltfang. “The grids are not designed for the energy transition. Electric mobility, heat pumps, and fluctuating renewable energies require cost-effective and sustainable intermediate storage solutions that can be deployed in the short term. With our energy storage systems, we achieve this and reach a milestone in addressing the fundamental challenges of the energy transition.”

Voltfang was founded in 2021 and has already brought a certified and market-ready product to market. As a spin-off from RWTH Aachen, the startup now employs 50 people and operates a production site in Aachen. Voltfang aims to deliver more than 40 MWh of storage capacity in its products by the end of 2024.

Fabian Heilemann (AENU): “Stationary battery storage systems will play a central role in the energy system of the future by aligning electricity generation and consumption over time. Since Voltfang’s energy storage systems are made from reused electric vehicle batteries, they not only contribute to the energy transition but also reduce dependence on and consumption of resources compared to the production of new batteries. With their academic and practical expertise, the Voltfang team has the optimal DNA to build a European champion in the field of second-life batteries.”

Niko Samios (PT1): “There is no question that the market opportunity for energy storage will be enormous in the coming years. Sustainable energy production is becoming increasingly affordable, but it needs to be stored somewhere due to the grid structure, and decentralization is the best approach. Future regulatory requirements will further emphasize this process. Voltfang offers the most interesting product in this field that we have seen because they combine a cost advantage with a sustainability bonus.”

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DIF Capital Partners acquires leading Canadian geothermal company Diverso

DIF

DIF Capital Partners (“DIF”) is pleased to announce that it has signed an agreement to acquire a majority interest in Diverso Energy Inc. (“Diverso”), a leading developer, owner, and operator of geothermal energy systems in Canada. DIF’s investment will be executed through its DIF Infrastructure VII fund. DIF will acquire a 75% interest directly from the founders who will retain the remaining ownership and continue to lead the company.

Founded in 2015, Diverso offers a geothermal heating and cooling solutions for multi-unit residential and commercial projects under an Energy-as-a-Service (“EaaS”) model with long-term contracts. The acquisition will enable Diverso to continue its growth and execute on its growing pipeline of geothermal projects in Canada.

Diverso’s ground source energy systems typically reduce the carbon intensity of a building by 80% by removing traditional gas boilers. The company estimates its developed and pipeline projects will eliminate over 30,000 tons of CO2 annually. Geothermal systems are expected to contribute to Canada’s target to reduce carbon emissions by 40% by 2030 and net-zero by 2050. Supportive regulatory policies such as the clean technology investment tax credit for geothermal, regulations requiring stringent reductions of carbon intensity and improvements to energy efficiency in building design and increasing federal carbon taxes position Diverso strongly to achieve its targets.

This investment will provide immediate and long-term benefits to Diverso Energy and our clients” said Tim Weber, CEO of Diverso. “We are extremely proud of what our team has accomplished since our inception in 2015. With our new partnership and the immediate demand for low carbon building solutions, we are well positioned to enhance our operations and grow our position as market leaders as the industry accelerates the adoption of geothermal solutions.”

“Diverso provides a technical solution that is sustainable and significantly improves energy efficiency of buildings. We believe geothermal heating and cooling for residential and commercial properties will play an important role in the overall decarbonization of the Canadian economy” said Gijs Voskuyl, Partner and Head of Infrastructure at DIF Capital Partners. “This investment continues to build upon DIF’s long standing build to core strategy and commitment to reducing greenhouse gases globally. We look forward to the partnership with the Diverso management team in expanding its presence as a leading Canadian geothermal company in an industry supported by strong regulatory tail winds.”

 

About DIF Capital Partners

DIF Capital Partners is an independent infrastructure fund manager, with ca. EUR 16 billion of AUM. DIF was founded in 2005 and has built a leading position in managing mid-market investments, primarily in Europe, North America and Australia.

DIF follows two strategies: its traditional DIF funds invest in lower risk mid-sized infrastructure projects and companies in the energy transition (incl. renewables) and utilities sector, as well as PPPs and concessions. The firm’s CIF funds invest in small to mid-sized companies that will thrive in the new economy. These companies are typically active in the digital, energy transition and sustainable transportation sector.

With a team of over 225 professionals in 11 offices, DIF Capital Partners offers a unique market approach combining global presence with the benefits of strong local networks and investment capabilities. DIF is located in Amsterdam (Schiphol), Frankfurt, Helsinki, London, Luxembourg, Madrid, New York, Paris, Santiago, Sydney and Toronto.

For more information, please visit www.dif.eu

 

About Diverso

Diverso offers a unique geothermal EaaS model for multi-family, office and institutional buildings. Diverso designs, builds, owns and operates the geothermal system allowing clients to leverage the benefits of geothermal without the financial or operating risks associated with the technology. The Diverso ownership team has worked with hundreds of clients many in high density urban environments. Their combination of financial and technical solutions are expediting the transition from fossil fuels to electric buildings.

For more information, please visit www.diversoenergy.com

 

Contact DIF Capital Partners:

Renate Klöters, Director Marketing & Communications

r.kloters@dif.eu

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