Arise announces its largest project sale to date

Arise AB (publ) (”Arise”) has today entered into an agreement with funds managed by Foresight Group LLP (”Foresight”), a UK based leading independent infrastructure and private equity investment manager, for the sale of the 231 MW wind farm Skaftåsen (the ”Project”). Closing of the transaction will occur today.

At closing, Arise will receive a fixed consideration of approx. EUR 19.1 million. An additional EUR 6.4 million in variable consideration is expected to be received once construction of the Project has been completed. The sale is expected to have a positive impact on earnings of approx. SEK 210 million in total over the years 2019 to 2021, of which approx. SEK 140 million in Q4 2019.  The variable part of the consideration is dependent on how construction of the Project proceeds versus plan and budget. The transaction also includes an additional production based earn-out mechanism amounting to up to approx. EUR 4.5 million.
The transaction will be implemented through a sale of the shares in Skaftåsen Vindkraft AB (the company holding the project rights) from Arise AB to FW Skaftåsen BidCo AB, a company controlled by Foresight.
Arise will manage the construction and once operational, manage the Project on behalf of Foresight through construction and asset management agreements.
Siemens Gamesa will be supplying 35 turbines with a capacity of 6.6 MW each from its new cutting-edge 5.X platform. Construction of the Project has already begun, and commissioning is expected late 2021.

Daniel Johansson, CEO, Arise AB said:
We are very happy to introduce not only a significant new investor in the shape of leading independent infrastructure investment manager Foresight to the Swedish wind market, but also cutting-edge new technology provided by Siemens Gamesa. To launch this new technology on the Nordic market together with Siemens Gamesa and Foresight represents a landmark event for us. This great project is founded on strong relationships and collaboration from start to finish, and we look forward to realising this exciting project together with these renowned partners”.

Daniel Cambridge, Senior Investment Manager, Foresight Group said:
”We are very pleased to announce our first greenfield onshore wind investment in Sweden. As a leading international infrastructure investor, Foresight is delighted to be partnering with an experienced developer in Arise and also to be deploying the latest innovations in onshore wind technology with Siemens Gamesa. The Skaftåsen project will make a valuable contribution to renewable energy production and carbon reduction targets in Sweden, and also make a material contribution to the local community via the annual community contribution payment which is aligned to our ESG focused investment criteria”.

Halmstad 11 December, 2019
ARISE AB (publ)

For further information, please contact
Daniel Johansson, VD Arise AB, +46 702 244 133
Linus Hägg, CFO Arise AB, +46 702 448 916

This information is such information as Arise AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 11.15 a.m. CET on 11 December 2019.
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About Arise
Arise is one of Sweden’s leading wind power companies, with the business concept to develop, build and manage onshore wind farms for its own account and on behalf of investors. The company is listed on NASDAQ Stockholm.
Arise AB (publ), P.O. Box 808, SE-301 18 Halmstad, Sweden, telephone +46 (0)10 450 71 00