Scatec ASA has successfully completed the sale of its 51% stake in its African hydropower joint venture to TotalEnergies for US$167 million. The transaction, based on a valuation date of 31 December 2023, was first disclosed on 30 July 2024.
The net proceeds from the sale are estimated at US$161 million, after adjustments for cash movements between the valuation date and the closing date. These funds will be allocated to support Scatec’s self-funded growth plan and for additional debt repayments at the corporate level.
The agreement includes the operating 255MW Bujagali hydropower plant in Uganda, as well as a development portfolio comprising the 361MW Mpatamanga in Malawi and the 206MW Ruzizi III located at the border of Rwanda, DRC, and Burundi. As part of the deal, the Hydro Africa team will transition to TotalEnergies under a newly incorporated entity, SN Power AS.
Scatec CEO Terje Pilskog commented: “We are pleased with closing the transaction to sell our stake in the African hydropower assets to TotalEnergies. The divestment is in line with our strategy to optimise our portfolio and focus the majority of our investments in our core markets and on solar, onshore wind, and battery energy storage. We are confident that TotalEnergies will be a strong owner going forward. I would especially like to thank the hydropower team that now moves to TotalEnergies for their hard work and dedication over the years.”
