EIP to gain majority stake in BayWa renewable energy unit after capital increase (updated)

Baywa AG

24/02/2025 24:17

(Adds details from the statement in paragraph 1 and 2, and
background in paragraphs 4-7)
       Feb 23 (Reuters) - BayWa AG  BYWGnx.DE  said on Sunday
that Swiss energy investor Energy Infrastructure Partners (EIP)
would gain a majority stake in renewable energy unit BayWa r.e.
through a capital increase that would lower BayWa AG's stake to
35% from 51%.
    As part of the capital increase, BayWa AG will relinquish
350 million euros ($366.66 million) in shareholder loans to
BayWa r.e., the German agricultural group said in a statement.
    The capital increase and debt financing provided will cover
the additional capital and guarantee requirement of BayWa r.e.
of about 435 million euros until 2028, the statement added.
    Reuters is seeking comment from EIP.
    Reuters reported in July that EIP was in talks with BayWa to
increase its stake in the renewable energy unit to at least
70%-80% from 49%, in a deal designed to ease financial pressure
on BayWa and help improve the creditworthiness of the renewables
unit.
    EIP in late 2020 paid 530 million euros for its 49% stake in
BayWa r.e.


($1 = 0.9546 euros)

 (Reporting by Rhea Rose Abraham in Bengaluru; Editing by Jamie
Freed and Sonali Paul)
 ((RheaRose.Abraham@thomsonreuters.com;))