The solar project is situated on an area of around 36 hectares in Harderwold, in the central Netherlands, and is associated with annual electricity production of about 45.1 GWh.
The project is expected to be commissioned by December 31, 2022.
The transaction was supported by financing from Rabobank. The purchase price was not disclosed by either of the parties.
The Sustainable Energy Transition subsidy program (Stimulering Duurzame Energietransitie SDE+) in the Netherlands provides for a fixed tariff for at least 15 years, creating an income security for project developers. Additionally, if a plant falls short on its estimated output, the tariff continues to be paid for the sixteenth year. The Netherlands is thus one of the few countries still operating with such a state-guaranteed tariff system.
“The Dutch market is highly competitive due to its exceptional regulatory framework. For project developers, investors, and financing banks, these are very advantageous, as a cash flow is generated on the part of the projects that is secured by government regulations,” Detlef Schreiber, CEO of the CEE Group, explains.
“In most other markets, such subsidy systems with predictable revenues are no longer available. There, operators of renewable energy plants market the electricity they produce themselves via so-called Power Purchase Agreements, which entails risks and chances.”
Post the acquisition, CEE Group’s total solar capacity in the Netherlands now stands at 162 MW. The project site belongs to the municipality of Zeewolde, and the solar park was developed using solar modules from LONGi.
Anders Marcus, CEO at Obton, said, “The renewed cooperation with CEE Group within one year speaks for our special expertise in the development and realization of international solar energy projects. We thank them for the excellent cooperation and would very much like to implement further projects together with CEE Group.”
BJKT provided legal advice, and Bankhaus von der Heydt acted as advisor on the seller side. The technical due diligence was carried out by Evergy, and the tax due diligence was by Deloitte. Dirkzwager N.V. provided legal advice to the sell side.
According to Mercom’s 9M and Q3 Solar Funding and M&A Report, in the first nine months of 2022, there were 207 project acquisitions totaling 52.1 GW, compared to 200 project acquisitions totaling 55.5 GW in the same period of last year.