Scatec ASA sells Upington plant in South Africa for NOK 569 million to finance further growth

2 February 2023

Scatec ASA has signed an agreement with a subsidiary of STANLIB Infrastructure Fund II, managed by STANLIB Asset Management Proprietary Limited (“STANLIB”), to sell its 42% equity share in the 258 MW Upington solar power plant for a gross consideration of ZAR 979 million (NOK 569 million).

- Today’s transaction is in line with our strategy to optimise our portfolio as presented at our Capital Markets Update in September 2022 and will release capital for new investments in renewable energy. We are very pleased to secure a value accretive transaction and are confident that STANLIB will be a solid owner of the asset going forward, says Scatec CEO Terje Pilskog.

The solar plant in Upington reached COD in 2020 and were awarded in the fourth bidding round under the Renewable Energy Independent Power Producer Programme. The plant generates approximately one third of the proportionate power production EBITDA in South Africa for Scatec. Scatec will continue to provide Operations & Maintenance and Asset Management services to the Upington power plant.

- We entered South Africa back in 2010 and have since grown into a leading renewable energy player in the country.  South Africa remains a focus market for us, and we will continue to build scale through new investments, including the Kenhardt project under construction and the new Grootfontein project secured in the fifth bidding round,” adds Pilskog.

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