Capital increase at BayWa r.e. by investor EIP approved
WindSolarBioenergyServicesSolar DistributionEnergy TradeEnergy SolutionsHybrid Projects
The regulatory approvals by the responsible supervisory authorities in Germany, Austria and Australia have laid the foundation for the largest transaction in BayWa’s corporate history: Funds advised by the Swiss investor, Energy Infrastructure Partners (EIP), will acquire a 49% stake in BayWa r.e. with an equity contribution of €530 million. The transaction is expected to be completed in March. BayWa AG will remain the majority shareholder with a 51% stake.
“Successfully concluding the transaction on schedule despite the restrictions imposed by the coronavirus will further boost the momentum of our operations,” says Klaus Josef Lutz, Chief Executive Officer of BayWa AG. “Now we can accelerate the implementation of BayWa r.e.’s growth strategy and advance into new areas of renewable energy hand-in-hand with our investor, EIP.” The partners have agreed to continue strengthening BayWa r.e.’s project, service and solutions business while simultaneously transforming the company into an independent power producer (IPP). Over the medium term, BayWa r.e. aims to independently operate selected solar parks and wind farms with a total output of up to 2.5 GW.
Upon completion of the transaction, BayWa r.e. will change its legal form from a GmbH, or limited liability company, to an Aktiengesellschaft (AG), or stock corporation. Matthias Taft, previously the member of the BayWa AG Board of Management in charge of the Energy Segment, will be appointed the CEO of the new BayWa r.e. AG and step down from his position on the BayWa AG Board of Management. Consequently, member of the Board of Management Marcus Pöllinger will head up the Conventional Energy business unit. Mr. Pöllinger has been a member of the Board of Management since November 2018 and is responsible for the Building Materials Segment as well as the Agri & Service, Agricultural Equipment and Digital Farming business units. In his role as Chairman of the Supervisory Board of BayWa r.e. AG, Klaus Josef Lutz, BayWa’s CEO, will be responsible for Renewable Energies.