THE ENERGY INDUSTRY TIMES - OCTOBER 2016 Companies News 9 Siân Crampsie French engineering firm Areva says that a deal to sell its shares in Adwen to Gamesa will help it to focus its business on the nuclear fuel cycle. Areva’s board of directors has authorised the sale of the firm’s 50 per cent stake in Adwen, an offshore wind turbine manufacturer, to Gamesa, which is currently undergoing a merger with Siemens Wind Power. Gamesa said last month that it expected to hold an extraordinary general shareholders meeting this month October to approve the merger. Areva will receive €60 million for its 50 per cent stake in Adwen, a joint venture firm it set up in 2015 with Spain’s Gamesa. It expects to close the transaction in early 2017 following approval from competition authorities. The French firm is reported to have entered talks with GE over the sale of Adwen. Newswire agency Reuters reported last month that the US giant made a non-binding offer for the offshore wind venture. Areva held a three-month competitive bidding process to obtain and assess offers from third-party investors interested in Adwen, but said that the sale of its 50 per cent share to Gamesa would maximise the value of its shares and give Adwen a stable shareholder base. Under the merger agreement between Gamesa and Siemens, Areva could have also divested 100 per cent of Adwen to a third party via a dragalong right for Gamesa’s stake. It also had a put option for Areva’s 50 per cent stake and a call option for Gamesa’s 50 per cent stake in Adwen. Reuters reported that GE was interested in some of Adwen’s technology and its French order book, but that it did not want to commit to taking over Adwen’s operations in Germany nor to building new factories in France. Adwen has received commitments from the French government that its 8 MW wind turbines will be used for French offshore projects on the condition that the turbines are built in France. The merger between Gamesa and Siemens’ wind power business will give rise to a leading global wind player with a worldwide installed base of 69 GW, an order backlog of €21 billion, revenue of €9.9 billion and adjusted EBIT of €915 million. Siemens will receive newly issued shares of the combined company and will hold 59 per cent of the share capital while Gamesa’s existing shareholders will hold 41 per cent. Gamesa and Areva formed Adwen in 2015, with both companies investing around €200 million, in a bid to take advantage of growth in the offshore wind energy market. Uniper lists E.On has completed the planned spinoff of subsidiary Uniper with a successful listing on the Frankfurt stock exchange. The listing is the conclusion of an ambitious restructuring of E.On’s business that started in 2015 in response to a radical shift in the trading environment for electricity utilities. E.On said that the move would enable both E.On and Uniper to “fully focus” on their business activities. “E.On and Uniper now have every opportunity to be successful with their clear focus on their respective segments of the energy industry,” said E.On CEO Johannes Teyssen. “They can now develop without compromises and serve the needs of their respective customers. “This strategy is the right way forward for E.On, for Uniper and for the customers, shareholders and employees of both companies. The new and the classical energy worlds are so fundamentally different that they each require a totally different entrepreneurial approach.” After the listing last month, shares in Uniper initially rose before falling back to €10.75 per share, valuing the company at €3.9 billion. Teyssen said he expected the share price to fluctuate initially. E.On hived off its conventional power plant business into Uniper because of falling energy prices and a rise in the use of renewable energy. E.On will now focus on renewables, networks and energy services. RWE has carried out a similar restructuring, forming a new subsidiary for its renewables, grids and retail businesses called Innogy. It will float a 10 per cent stake in the new company later this year. Areva seals Adwen’s future Areva is to sell its shares in Adwen to Gamesa as the Spanish firm nears completion of its merger with Siemens Wind Power. ViZn Energy Systems and The Ryan Company are aiming to improve the economics of large-scale solar energy systems through a new strategic partnership. The two companies have announced plans to target the commercial and industrial-scale solar power sector with an integrated solar + battery storage offering based on ViZn’s flow battery technology. According to Bloomberg New Energy Finance, the solar + storage sector will grow exponentially over the next few years and will reach $250 billion of total investment by 2040. The partnership will use ViZn’s zinc and iron chemistry-based flow battery energy storage systems and Ryan’s experience in solar EPC integration. ViZn’s batteries can perform both high-power and long-duration duties, enabling utilities to stack applications and incorporate multiple value streams. “ViZn has a highly scalable, robust technology that can provide multiple lines of value for intermittent renewable assets,” said Bill Hargett, Director of Business Development at The Ryan Company. “We believe that solar power producers are increasingly looking for ways to provide a more dynamic and flexible dispatch profile to the grid, and ViZn Energy has the product and ability to make this happen.” Within the strategic partnership, The Ryan Company and ViZn will provide a comprehensive battery storage system for utility solar power plants that seek improved economics based on ViZn Energy’s capacity to address load shifting and fast frequency response power management services. Deutsche Windtechnik and OutSmart are planning to merge their businesses to broaden their offerings to the European wind energy sector. Deutsche Windtechnik, an independent specialist in wind turbine maintenance, will acquire 70 per cent of the shares of OutSmart, which focuses on offshore operations management and management services. The move will enable the firms to support customers “as a strong and independent service partner throughout the entire life cycle of wind energy projects” as well as continue to tailor their services to individual customers’ needs. OutSmart’s range of services in the offshore wind farm management field includes technical and commercial management, 24/7 remote monitoring, HSEQ management, data analysis and reporting. Effective immediately, Out- Smart will be able to draw upon the expertise of the entire Deutsche Windtechnik group in the areas of consultancy and project support, the firms said in a statement. n Rovco, a new subsea company dedicated to the offshore energy industry, has been launched in the UK. Rovco will focus on underwater integrity, remotely operated vehicles (ROVs), surveying and subsea services for both oil and gas and renewables sectors, and has already secured its first contract with the UK Marine Trust. ViZn and Ryan move creates new solar + storage team Wind service firms join forces Quote “INDUSTRY TIMES“ to get extra 10% discount when you book the summit. 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Energy Industry Times October 2016
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