Swiss investor takes 49% stake in BayWa’s renewables arm

Investment group Energy Infrastructure Partners has ploughed €530 million into German renewables firm BayWa as one of its first moves since gaining independence from Credit Suisse last month

BayWa's operations projects include the 17.25MW Fürstkogel project in the Austrian Alps
BayWa's operations projects include the 17.25MW Fürstkogel project in the Austrian Alps

The €530-million deal  gives Energy Infrastructure Partners (EIP), formerly Credit Suisse Energy Infrastructure Partners, a 49% stake in BayWa’s renewables branch, subject to regulatory approval. Once signed off, BayWa's renewable unit will be converted into a stock corporation under German law. 

Klaus Josef Lutz, chief executive officer of parent company BayWa AG, said that alongside a green bond secured in 2019 for half-a-million euros, the company had acquired €1.03 billion in less than two years.

In a statement, he said: “This is testament to the fact that our decision 11 years ago was the right one. In just a decade, BayWa r.e. has developed into one of the leading companies in the fields of renewable energies – and one that the market values at more than €1 billion.”

He added: “Together [with EIP] we have agreed to continue strengthening BayWa r.e.’s project, service and solutions business going forward while transforming the company into an independent power producer.”

EIP manages more than €2.78 billion from institutional investors in Switzerland, Europe and Asia.

With a stake of 51%, BayWa AG will remain BayWa r.e.’s majority shareholder. This means that it will continue to independently operate selected solar parks and wind farms with a total output of up to 3GW.

According to Windpower intelligence, the research and data division of Windpower Monthly, BayWa has almost 2GW of wind capacity — 730.3MW is online and 1.2GW is in the construction pipeline.

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