Global Infrastructure Partners (GIP) has announced that its fund, Global Infrastructure Partners II (GIP II), has agreed to establish a strategic partnership with Spanish infrastructure developer ACS.
The GIP II/ACS partnership will consist of two principal components:
The Saeta yieldco has filed its intention to launch an initial public offering (IPO) of its shares. Upon the successful completion, GIP II and ACS will each own up to an approximate 24.5% stake in the listed firm.
According to sources, ACS is targeting a valuation of about €1 billion (US$1.15 billion) for its unit. The Saeta portfolio specifically includes:
Going forward, this new GIP/ACS development partnership will have a right of first offer (ROFO) option to ACS' development pipeline of renewable energy assets.
GIP's investment is contingent on the successful completion of Saeta's IPO.
Commenting on this announcement, Adebayo Ogunlesi, Chairman and Managing Partner of GIP stated:
"We are excited about the possibilities offered by this strategic partnership with ACS, a recognized leader in renewable energy development and one of the world's leading construction companies. This is an outstanding opportunity to combine the world class industrial and renewable energy development experience of ACS with GIP's renewable energy sector expertise and business model of value added infrastructure investment."