To learn more about the report, visit: http://store.mercom.mercomcapital.com/product/2014-annual-and-q4-wind-funding-report/
Mercom Capital Group, llc, a global clean energy communications and
consulting firm, released its report on funding and merger and acquisition
(M&A) activity for the wind sector for 2014.
Global venture capital (VC) funding in the wind sector decreased to $311
million in 2014 compared to $455 million in 2013. Total funding into the wind
sector reached $31.7 billion in 2014 including VC funding, public market
financings, debt financings, and announced project funding deals.
The top VC funded company in 2014 was ReNew Power Ventures, a wind and solar power producer,
which received $140 million. This was followed by BluEarth Renewables, a private independent
renewable power producer, which received equity financing of approximately $71
million, STX France, a provider of offshore construction to renewable marine
energy and oil and gas markets, which raised $27 million and Nenuphar, a
France-based developer of a vertical-axis floating wind turbine, which raised
$20.8 million. Rounding out the Top 5 was the $16.7 million raise by 3sun
Group, a company that installs and maintains offshore wind turbines.
Public market financings accounted for $3.7 billion in 16 deals in 2014
including three IPOs (one yieldco) totaling $578 million.
Announced debt financing amounted to $7.7 billion in 23 deals in 2014,
more than double the $3.8 billion in 10 deals in 2013.
Announced large-scale project funding in 2014 amounted to $20 billion in
120 deals compared to $18 billion in 114 deals in 2013. There were a total of 139
investors that participated in project funding in 2014. The most active project
funding investors were KfW IPEX-Bank with nine deals, followed by Brazilian
Development Bank (BNDES) with eight deals, and Banco Santander, Bayerische
Landesbank New York Branch (BayernLB), and Eksport Kredit Fonden (EKF) with seven
It was a strong year for M&A activity in the wind sector in 2014 with
28 transactions, 12 of which were disclosed for a combined $4.6 billion.
“There has been a significant jump in the number of Yieldcos entering the
renewable energy space, and for Yieldcos to grow they must continually add new
projects to their portfolio. We will see a lot more Yieldcos jumping into the
Wind sector in the near future and start actively acquiring quality wind
projects worldwide,” commented Raj Prabhu, CEO and Co-Founder of Mercom Capital
Of the 28 M&A transactions in 2014, Wind Downstream companies
accounted for 20 of them, followed by Service Providers (four) and Wind
Component companies (two). Manufacturers and BOS companies accounted for one transaction
disclosed M&A transaction in 2014 was the $2.4
billion acquisition of First Wind, a developer of wind projects, by SunEdison, and its yieldco company TerraForm Power. This was
followed by the $567 million acquisition of a 33.33 percent stake in ACCIONA
Energia International (AEI), the renewable energy generation business of
ACCIONA Energia, by Kohlberg
Kravis Roberts (KKR), Meanwhile, Brazilian utility
CPFL, through its subsidiary CPFL Renovaveis, acquired
Dobreve Energia, a renewable project developer, for $418.5 million. Boralex,
a power producer, acquired Enel Green Power France (EGPF) for $371.9 million.
Rounding out the Top 5 was the $252 million acquisition of Electrawinds, by Nethys (formerly
Tecteo Energy), a clean energy developer.
There were 154 large-scale project acquisitions compared to 116 in 2013. A
total of 24.6 GW in large-scale wind projects changed hands in 2014. Offshore
wind project acquisition activity was on par with onshore project activity for the first time.
Of the Top 5 disclosed project acquisitions by dollar amount, the largest
was the $1.3 billion acquisition of the 400 MW Veja Mate offshore wind project
in the North Sea by Laidlaw Capital Group from Bard Group, followed by the $1.1 billion acquisition of a 25 percent share in the 630 MW
offshore London Array 1 wind project by Caisse de depot et placement du Quebec (La Caisse) from DONG Energy. Brookfield Renewable Energy Partners acquired the wind portfolio – comprising 321 MW of operating wind
capacity across 17 wind projects in eight counties in Ireland and Northern
Ireland – of Bord Gais Energy (BGE) for approximately $960 million. NRG Yield acquired the 947 MW of operating wind capacity and a portfolio of
land leases associated with the Alta Wind project located in Tehachapi, California,
from Terra-Gen Power for $870 million. Rounding out the Top 5 was the $858
million acquisition of Statoil’s stake in the 402 MW Dudgeon offshore wind
project off the Norfolk coast in Eastern England by Masdar Abu Dhabi Future Energy.
also tracked 41.8 GW of large-scale onshore and offshore projects in various
stages of development in 2014.
There are 189 companies, 123 project announcements and 43 investors
covered in this report. The report also includes 70 charts and tables.
# # #