Cloudberry and Downing sign share purchase agreement for Swedish project

4C Offshore | Tom Russell
By: Tom Russell 15/01/2021 Cloudberry Clean Energy AS
Cloudberry Clean Energy AS (Cloudberry) and Bagnall Energy Limited, part of Downing Estate Planning Service managed by Downing LLP, have signed the share purchase agreement (SPA) for the construction and ownership of a 100 MW nearshore, shallow water wind farm in Lake Vänern in southern Sweden. Cloudberry Production will own 20% of the project after commissioning.

Total expected sales value of the wind project is around NOK 300 million, subject to actual costs and that the final investment decision related to the project is made. Around NOK 100 million will be paid at the expected financial close during 2021, and the remaining purchase price will be paid after project commissioning in the second half of 2023.

Bagnall has also signed an exclusivity agreement with Downing Renewables & Infrastructure Trust plc (DORE) for the purpose of concluding the acquisition jointly, with Bagnall and DORE each owning c. 40% and Cloudberry 20% of the equity in the wind farm.  

We are very pleased to cooperate with such an experienced infrastructure investor as Downing. The project partnership is an important step towards fulfilling Cloudberry’s growth ambitions within shallow water wind power. It also shows our ability to realise significant value from our large pipeline of projects under development”,
says Anders Lenborg, Chief Executive Officer of Cloudberry.

Henrik Dahlström, Investment Director at Downing LLP, said: “This is a great day for Bagnall as we join forces with Cloudberry on the Lake Vänern wind farm project and continue to strive for clean energy solutions while also supporting the growth of the renewable energy market in Sweden. Cloudberry is a leading hydropower and wind power plant expert in the Nordic region and we look forward to working together going forward.”

The 100 MW wind farm project in Lake Vänern is close to existing infrastructure and the partnership has commenced the work with project design solutions and procurement. The current development plan includes 16 turbines with an estimated annual power production around 350 GWh, significantly strengthening the access to clean and renewable energy in the region.

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