The Canadian asset manager Brookfield has entered exclusive negotiations with the shareholders of the French renewable energy provider Neoen to acquire a majority stake, subsequently aiming for full ownership and delisting from the Paris Stock Exchange.
Neoen, valued at €6.1 billion, disclosed this information on Thursday.
Brookfield, which operates the renewable energy platform Brookfield Renewable Partners, has initiated exclusive negotiations with Impala, the Fonds Stratégique de Participations managed by ISALT, Cartusiai, Xavier Barbaro, and other shareholders. They seek to acquire approximately 53.32% of Neoen’s existing shares at a price of €39.85 per share, according to Neoen’s statement.
Following this acquisition, Brookfield Renewable Holdings plans to launch a mandatory public offer for the remaining shares of the French group, also at €39.85 per share, with the intention of implementing a compulsory delisting from the stock exchange.
This price represents a 26.9% premium over the last closing price and premiums of 40.3% and 43.5% over the volume-weighted average prices for the past three and six months, respectively.
Brookfield’s offer thus values Neoen at €6.1 billion for 100% of the shares.
Neoen’s Board of Directors has unanimously and favorably received Brookfield’s proposal, as stated in Neoen’s announcement.
“Fifteen years after the creation of Neoen, we are delighted to open a new chapter in our history with Brookfield,” said Neoen CEO Xavier Barbaro. “Brookfield will support our company in a new phase of growth, enhancing Neoen’s position as a global leader in renewable energy production,” he added.
“The acquisition of Neoen reinforces Brookfield’s global presence while diversifying its activities in key renewable energy markets and adding significant expertise in battery storage technology,” highlighted Connor Teskey from Renewable Power & Transition at Brookfield Asset Management.
Founded in 2008 and listed since 2018, Neoen has over 8.3 GW of renewable energy production capacity, either operational or under construction. The company notably owns France’s most powerful solar farm (Cestas) and Finland’s largest wind farm (Mutkalampi).
In 2023, Neoen’s net profit more than tripled, reaching €150.2 million.