Encavis AG acquires the largest solar park in the history of the company with a generation capacity of 300 MW

  • Consistent implementation of the planned growth strategy
  • Further diversification of portfolio by market entry into Spain
  • Entry in the growing market for private power purchase agreements

Hamburg, 9 October 2018 - SDAX-listed Hamburg-based solar and wind park operator Encavis AG has acquired the largest solar park in its history, the park is located near the Spanish town of Talayuela. The solar park with a generation capacity of roughly 300 MW is one of the largest of its kind in Europe. Encavis thus implements another major growth step from its 1.1 gigawatt strategic partnership with the British project developer and operator Solarcentury.

With the solar park in Talayuela in Spain, Encavis AG will realise a solar project entirely without government feed-in tariff. For the first time in the company"s history, Encavis will thus translate the success of power purchase agreements PPAs that are common practice in the wind sector to the high-growth solar power market. The price for the electricity generated by the photovoltaic plant in Talayuela will be secured by a highly creditworthy European customer at a fixed price over a period of ten years. The project will be financed by a renowned syndicate of banks.

The total investment including the project-related debt capital amounts to roughly EUR 225 million. Solarcentury will bear 20 percent of the investment and be in charge of commercial and technical management of the park. The plant is scheduled to be connected to the power grid at the end of the first quarter of 2020. Encavis expects the photovoltaic plant to generate revenues of around EUR 25 million p.a. as of the first full year of operation. The investment will significantly increase the average yield of Encavis" total portfolio.

The transaction is subject to the usual market conditions precedent.

"The solar park in Talayuela represents a milestone in our consistent growth strategy and at the same time is another major step in our strategic partnership with Solarcentury," said Dr. Dierk Paskert, CEO of Encavis AG. "The acquisition of this park will open up a new dimension for our total portfolio, which will continue to meet all return-related requirements. At the same time, we will expand our business segment to include the fast-growing market for direct power purchase agreements with the corporate sector. This will clearly shape the future of Encavis," Paskert added.

Frans van den Heuvel, CEO of Solarcentury added: "This is one of the largest and most powerful solar projects in Europe and is made all the more innovative by being built without subsidy. The acquisition pays testament to the quality of our combined skills and to the strong and productive relationship we have with Encavis. Talayuela is concrete evidence of Solarcentury"s transition to a fully integrated platform that develops, builds and operates solar and storage assets. "

The project was initially developed by Kompa Solaire SASU and Genia Global Energy Solutions, S.L. both engineering companies which develop and promote renewable energy projects for the spot market.

About the Encavis Group:

Encavis AG is one of the leading independent power producers (IPPs) in the field of renewable energy in Europe. The company acquires and operates solar power plants and (onshore) wind farms in Germany and in nine other European countries. The total generation capacity of the Encavis Group currently sums up to around 1.9 gigawatts (GW). With its wind farms and solar parks, the company generates attractive financial returns, as well as very stable income irrespective of economic conditions.

Encavis AG also provides institutional investors with the benefit of its many years of experience and market knowledge in the field of renewable energies. Within the Encavis Group, Encavis Asset Management AG specializes in the field of institutional investors. Encavis Technical Services GmbH is also the Encavis Group"s service unit for the technical management of solar parks.

Encavis AG is listed on the regulated market (Prime Standard) of the Frankfurt Stock Exchange and on the regulated market of the Hamburg Stock Exchange (ISIN: DE0006095003 / WKN: 609500) and the SDAX of the German Stock Exchange.

You can find more information on the company at www.encavis.com.

Contact:
Encavis AG
Till Gießmann
Head of Investor & Public Relations
Tel.: + 49 (0)40 37 85 62-242
Fax: + 49 (0)40 37 85 62-129
Email: till.giessmann@encavis.com


About Solarcentury:

Solarcentury is one of the most respected solar companies in the world. Founded in 1998, the company has been around since the early days of the industry and has been part of the evolution that has made solar electricity the mainstream energy source that it is today. Solarcentury has put solar on a greater variety of sites than any other company in the industry, and won multiple awards for leadership and innovation. To date, the company has developed and built more than 1 GWp and has a pipeline of 2.4 GWp.

Solarcentury works end-to-end: developing, structuring finance, building and operating solar projects at commercial and utility scale. The company thereby works with partners to bring solar to their customers" homes. Solarcentury is committed to making solar more accessible and attractive. Its customers benefit from our experience in terms of engineering quality, financial stability and sheer breadth of deployment.

Solarcentury is in business for a purpose: to make a meaningful difference in the fight against climate change through the widespread adoption of solar power. As a big believer that solar can help change the world for the better, the company contributes 5% of its annual net profits to SolarAid; the charity founded by Solarcentury which aims to eradicate kerosene lamps from Africa.

Solarcentury operates internationally with European offices in the UK, the Netherlands, Spain, France, and Germany; Latin American offices in Panama, Mexico and Chile; and an African office in Kenya.

Contact:

Solarcentury
Susannah Wood
Susannah.wood@solarcentury.com


Additional features:

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Subtitle: Encavis AG: Groessenvergleich Solarpark Talayuela