aventron AG and Aberdeen Standard Investments (ASI) are merging their small scale hydropower portfolios to create Norway’s third largest small-scale hydro operator with annual production capacity of 460 GWh
aventron and ASI’s combined portfolio will focus on the development, construction, production and distribution of renewable energy through hydropower as well as wind power in Norway. The combined portfolio comprises 41 small scale hydro power plants (including one plant under construction) as well as an operational wind farm and a further wind farm under construction. Combined annual production capacity is expected to reach c.460 GWh once all projects are fully operational.
With aventron’s assets mostly located in south Norway and ASI’s portfolio primarily based in the north of the country, the two portfolios are highly complementary. The merger provides geographical diversity, operational synergy potential and further de-risks the business by enhancing the long term competitive position of the joint company, a statement from the firms said.
The merger has been achieved through a contribution in kind, with aventron becoming the majority shareholder of the joint entity, aventron Norway AS. ASI through its first infrastructure fund, SL Capital Infrastructure I LP, will hold a substantial minority position with governance rights.