Swedish renewable energy developer Eolus has reached an agreement to acquire Finnish construction company YIT’s renewable energy unit, YIT Energy.
The deal includes a fixed consideration of €25m ($26.97m), of which €10m will be paid on completion and the remainder in tranches during 2024 and 2025.
It also includes a variable consideration depending on project sales and completed projects up to the end of 2032. Eolus will finance the transaction using existing sources.
The acquisition includes 2.3GW of renewable energy projects. Of these, 1.1GW in the mature stages of development will immediately qualify for Eolus’ project portfolio.
Of the 1.1GW portfolio, 900MW are onshore wind and the remaining 200MW are solar projects.
A total of 16 YIT employees will join Eolus.
The deal will be completed by the end of December 2023.
YIT Energy was founded in 2012 and focuses on wind projects. Its sale forms part of YIT's transformation plan, aimed at enhancing capital efficiency.
Eolus CEO Per Witalisson stated: “This acquisition is a long-term investment for Eolus and a major step in our expansion in Finland where we see a good potential for more renewable energy. With our experience, our long-term commitment and our staying power, we have the capacity to develop and realise the projects in the best possible way.
“By adding the projects and the experienced people from YIT Energy, Eolus will become a significant player in the renewable energy market in Finland.”
YIT chief financial officer Tuomas Mäkipeska stated: “Eolus has strong experience and excellent capabilities in taking the renewable energy business forward, which is positive both for our partners as well as personnel.
“Our team has done an excellent job in building the project development portfolio and now Eolus can develop the business forward with more extensive resources and support the future growth."
In July 2023, Eolus applied for a permit to build Västvind, a wind project offshore western Sweden.
With an installed capacity of 1GW, the wind farm could generate four terawatt-hours of clean energy annually.
