Encavis Completes Key Milestone as Voluntary Public Takeover Offer by KKR-Led Consortium Gains Full Regulatory Approval

Encavis Completes Key Milestone as Voluntary Public Takeover Offer by KKR-Led Consortium Gains Full Regulatory Approval

(IN BRIEF) Encavis AG has successfully fulfilled all conditions for its voluntary public takeover by Elbe BidCo AG, a KKR-led consortium, which now holds 87.73% of Encavis shares after acquiring 87.41% at EUR 17.50 per share. The partnership, formalized through an investment agreement, aims to expand Encavis’ renewable energy portfolio and strengthen its position as a leading European independent power producer. Co-investors Viessmann and ABACON will also support the company’s growth. The consortium plans to delist Encavis from the stock exchange to focus on long-term flexibility and development. Payment to shareholders is expected within eight banking days.

(PRESS RELEASE) HAMBURG, 25-Nov-2024 — /EuropaWire/ — Encavis AG has announced the successful fulfillment of all conditions for the voluntary public takeover offer initiated by Elbe BidCo AG, a consortium led by KKR. The final regulatory approval was secured, paving the way for settlement within eight banking days. As part of this offer, BidCo has acquired 87.41% of Encavis shares at a price of EUR 17.50 per share, including 31% through binding agreements with existing shareholders. After settlement, the consortium’s ownership will rise to 87.73%, marking a pivotal moment in Encavis’ strategic journey.

This takeover is underpinned by an investment agreement signed in March 2024 between Encavis and BidCo, forming the basis of a long-term partnership. BidCo, backed by KKR and co-investors Viessmann Generations Group GmbH & Co. KG and ABACON CAPITAL, will support Encavis’ ambitions to expand its renewable energy portfolio and strengthen its position as a leading independent power producer in Europe.

Dr. Christoph Husmann, Encavis CFO, described the transaction as a transformative step:
“With the offer complete, we are entering a new chapter in our history, supported by strong investors who share our vision. Together, we will expand our renewable energy portfolio, enhance our capabilities, and solidify Encavis’ market position in Europe.”

Vincent Policard, Partner and Co-Head of European Infrastructure at KKR, emphasized the partnership’s alignment with broader energy goals:
“This strategic investment empowers Encavis to seize opportunities in the renewable energy sector while contributing to Europe’s energy independence and transition.”

Max Viessmann, CEO of Viessmann, highlighted the mission-driven nature of the collaboration:
“This investment, alongside KKR, represents a key milestone in creating sustainable solutions for future generations and advancing the global energy transition.”

Tobias Krauss, CEO of ABACON, reiterated the significance of clean energy:
“Encavis holds immense strategic importance, both as a project and a symbol of the clean energy movement, with strong potential for growth and impact.”

The consortium plans to delist Encavis from the stock exchange to enhance financial flexibility and focus on long-term growth. Shareholders who tendered shares will receive EUR 17.50 per share, with payment instructions underway. Further details about the settlement are available at www.elbe-offer.com.

This partnership reinforces KKR’s global infrastructure leadership, with over USD 77 billion in assets under management and a track record of 90+ infrastructure investments since 2008. Encavis now stands poised to accelerate its growth strategy and contribute to Europe’s renewable energy landscape under the guidance of its new partners.

About Encavis:

The Encavis AG (Prime Standard; ISIN: DE0006095003; ticker symbol: ECV) is a producer of electricity from Renewable Energies listed on the SDAX of Deutsche Börse AG. As one of the leading independent power producers (IPP), ENCAVIS acquires and operates (onshore) wind farms and solar parks in twelve European countries. The plants for sustainable energy production generate stable yields through guaranteed feed-in tariffs (FIT) or long-term power purchase agreements (PPA). The Encavis Group’s total generation capacity currently adds up to around 3.6 gigawatts (GW), of which around 2.2 GW belong to the Encavis AG, which corresponds to a total saving of around 0.8 million tonnes of CO2 per year stand-alone for the Encavis AG. In addition, the Group currently has more than 1.2 GW of capacity under construction, of which around 900 MW are own assets.

Within the Encavis Group, Encavis Asset Management AG offers fund services to institutional investors. Another Group member company is Stern Energy S.p.A., based in Parma, Italy, a specialised provider of technical services for the installation, operation, maintenance, revamping and repowering of photovoltaic systems across Europe.

ENCAVIS is a signatory of the UN Global Compact as well as of the UN PRI network. Encavis AG’s environmental, social and governance performance has been awarded by two of the world’s leading ESG rating agencies. MSCI ESG Ratings awarded the corporate ESG performance with their “AA” level and ISS ESG with their “Prime” label (A-), the Carbon Disclosure Project (CDP) with its Climate Score “B” and Sustainalytics with its “low risk” ESG risk rating.

Additional information can be found at www.encavis.com.

About KKR:

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries.

For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.

About Viessmann Generations Group:

Founded in 1917, the independent family company Viessmann is today a global, broadly diversified Group. All activities are based on the company’s purpose “We co-create living spaces for generations to come”. This is the passion and responsibility that the large worldwide Viessmann family brings to life every day. Viessmann forms an ecosystem of entrepreneurs and co-creators with a clear focus on CO2 avoidance, reduction and capturing.

About ABACON CAPITAL:

ABACON CAPITAL, a family-owned investment firm, champions the sustainable energy transition, pioneering mobility solutions, and groundbreaking deep tech. Our mission centers on uplifting communities, fostering purposeful endeavors, and ensuring profitability, all while advancing societal and environmental well-being. Founded by Albert Büll, a visionary entrepreneur and investor with a legacy in nurturing sustainable enterprises – such as B&L Group in real estate development, Encavis AG in renewable energy production, and noventic in smart metering and energy management – ABACON is built on a foundation of innovation and responsibility.

Media Contacts:

Encavis AG
Dr. Oliver Prüfer
Press Officer & Manager Public Relations
Phone: + 49 (0) 40 378 562 133
Email: communications@encavis.com

KKR
Fabian Prietzel
Mobile: + 49 (0) 171 86 01 411
Email: kkr_germany@fgsglobal.com

Viessmann Generations Group
Byung-Hun Park
Vice President Corporate Communications
Mobile: +49 (0) 151 64 911 317
Email: huni@viessmann.com

ABACON CAPITAL
Josef Arweck
Mobile: + 49 (0) 157 34 762 499
Email: arweck@bernstein-group.com

SOURCE: ENCAVIS AG