The CNMV has approved the prospectus for the partial placement of Acciona Energia. The placement syndicate starts marketing the IPO this week. The transaction is aimed at institutional investors.
The Spanish multinational expects to place around 25% of capital (30% if the green shoe is added). Acciona will significantly reduce corporate debt after the capitalisation of intra-group loans.
Acciona Energía is born with an installed capacity of 11,000 MW and the objective is to reach 30,000 MW by 2030. The company has approved two bond and promissory note issuance programmes worth over 5 billion euros.
In addition, the firm has signed a syndicated loan for 2.5 billion euros, divided into three tranches, conditional on the IPO. With these funds, the renewables subsidiary will pay off outstanding debts with its parent company. Specifically, Acciona Energía will repay the parent company almost 1.5 billion euros. With the remainder of the 2.5 billion euros loan, it will be able to start up its investment plan. In the first years, the pay-out will be 25%, which could increase to 50% in the longer term.
Acciona Energía will have a long-term incentive plan (5 years) for the management, with the delivery of up to 2.84 million shares of the new company at a price to be determined by the IPO.
Valuation: The placement will serve as a thermometer to measure the appetite for Renewable Energies after the year’s sharp cuts, especially in IPPs. Unlike the failed IPOs, Acciona Energía is a consolidated company, with a large operational size and a very good management track record, with sales of 1.78 billion euros and EBITDA of 831 million. The transaction could have a short-term impact on listed IPPs due to portfolio rotation.