German wind and solar investor Capital Stage has agreed to merge with peer Chorus Clean Energy to create of the country’s largest renewable operators.
Capital Stage will launch a voluntary takeover offer for all Chorus shares, offering five new shares for each three of its target.
The investor said it will issue the new shares following a capital increase of up to €46.2m.
The new company will have a market capitalisation of around €824m and more than 900MW of solar and wind plants in operation around Europe.
Chorus, based near Munich, currently operates 335MW in five European countries.
“The combination of both companies is an attractive opportunity for both parties to pool their competencies and realize significant scale advantages,” Chorus chief executive Holger Goetze said. “With joint forces we will be even better able to benefit from the opportunities of market growth and consolidation in Germany and Europe.”
“In addition, the combined company will have a more attractive capital markets profile due to increased size and liquidity.”
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