Following its recent acquisition by the Private Equity Fund CVC Capital, DIF Capital Partners (DIF) consolidates its strong position in the renewable energy sector.
Through one of its funds, the DIF Infrastructure VI fund and Dutch Climate Action Fund Equity Vintage 1 fund, DIF reached an agreement to purchase a 60% stake in Novar. Novar holds a prominent position as the primary developer of expansive sustainable energy systems in the Netherlands.
DIF acquires major interest in Novar - Transaction Summary
Transaction Name | DIF acquires major equity interest (60%) in Novar |
Asset Name | Novar |
Asset Details | Dutch developer and operation or large scale sustainable energy systems |
Buyer | DIF |
Transaction Advisors – Buyer’s Side |
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Seller | Novar |
Transaction Advisor – Seller’s Side |
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Key Takeaways from ConstructionFront.com:
- Despite economic uncertainty and high interest rates, the Renewable Sector continues to draw significant money from institutional investors, with substantial transactions occurring, such as EQT infrastructure acquiring Statera Energy from Infrared Capital Partners in the UK
- Following its acquisition by CVC, announced in September 2023, the Dutch Infrastructure Fund continues to operate independently and to seek investment opportunities in renewable energy assets.
About Novar
Based in Groningen, Novar specializes in managing and developing large-scale sustainable energy systems. The company owns and operates 440 megawatts (MW) in utility-scale solar photovoltaic (PV), rooftop solar, and battery energy storage system (BESS) projects.
Their development pipeline exceeds 15 gigawatts (GW), highlighting their position as a leader in integrated energy solutions in the Netherlands.
Novar is actively engaged in a significant private grid project within the Netherlands, aimed at facilitating the grid connection for multiple large-scale solar and BESS projects. Novar has recently concluded the installation of its first battery at the Bontepolder solar farm in Terneuzen (Netherlands) – shown below.
Additionally, the company is also developing green hydrogen energy projects, such as Project H2 Hollandia, which is expected to be completed in second quarter of 2024.
Employing a fully integrated Independent Power Producer model, Novar extends its services beyond ownership, encompassing operation and maintenance, technical and commercial asset management, and consultancy and flex services, catering to its own portfolio as well as third-party entities.
DIF acquires major interest in Novar - Transaction Details
The transaction consolidates the commencement of a long-term partnership to deliver sustainable and innovative renewable energy solutions.
DIF acquired 60% of Novar’s equity, and according to the fund, the capital will contribute growth capital to facilitate the expansion of Novar’s comprehensive portfolio, including utility-scale solar, rooftop solar, and Battery Energy Storage Systems (BESS).
Gijs Voskuyl, Partner at DIF, stated that the investment in Novar offers DIF the opportunity to assist a leading player in the Dutch solar energy market, known for successfully completing ground-mounted and rooftop projects. Utilizing its established portfolio of 440MW and an extensive range of solar and storage projects in development, DIF will continue supporting initiatives driving the energy transition.
Gerben Smit, CEO of Novar Holding, shared his excitement, saying, “Thanks to this strategic partnership, Novar has the opportunity to shape further growth, expand internationally and achieve the target of 4GW of operating capacity by 2030.“
The Deal advisors for both parties are detailed below:
Advisors | DIF | Novar |
Financial Advisor | KPMG | Voltiq |
Legal Advisor | NautaDutilh | Eversheds Sutherland and Hogan Lovells |
Commercial Advisory | McKinsey | N/A |
Technical Advisor | Arup | N/A |
According to both parties, the transaction still awaits final approvals from regulatory agencies, and the transaction is expected to be closed before the end of the year.
