Encavis AG, an SDAX-listed wind and solar park operator, has agreed to purchase two solar parks in Denmark with a combined generation capacity of 105 MWp. Svinningegården, a subsidy-free solar park in Zealand’s northwestern region, has a generation capacity of 34 MWp and is already linked to the grid. In Q1/2022, the 71 MWp Rødby Fjord solar park in Lolland in Zealand’s furthest south-western corner will be connected to the grid.
The two solar parks were developed, constructed, and sold to Encavis by European Energy. The generated electricity will be sold to tech-companies under long-term power purchase agreements based on a pay-as-produced structure over a ten-year period. In addition, the 74 MWp Rødby Fjord will benefit from a 20-year feed-in-tariff from the Danish Ministry of Energy, Utilities, and Climate.
ENCAVIS AG is an independent renewable power producer. It acquires and operates solar parks and (onshore) wind farms in ten European countries. The ENCAVIS Group’s total power generation capacity is currently more than 3 GW. Meanwhile, Copenhagen-based European Energy develops, finances, creates and operates wind and solar parks as well as PtX systems. It operates renewable energy systems in 18 countries and has developed more than 2 GW of generation capacity and is currently creating more than 1.2 GW of renewable power capacity.
REGlobal’s Views: Acquisitions have become a common way for developers to increase portfolios rapidly. Developers get ready made assets or under development projects instead of going through the entire process of starting a project from scratch.