Renewable Energy M&A: Sheaf Energy Park BESS's valuation soars 25-fold in just one year

published on 08 November 2023

Pacific Green's recent divestiture of its 100% stake in the 249 MW Sheaf Energy Park BESS to Sosteneo HoldCo for a $258mn showcases the significant value creation realized during the last 12 months.

 This acquisition places the valuation of the asset at $1.04mn/MW. Just 12 months prior, Pacific Green's acquisition of the asset from Tupa Energy stood at $0.04mn/MW. What caused this valuation spike at such a short period?

 According to Enerdatics, a couple of key factors are at play:

– securing FID for the project, including necessary approvals and $146mn debt financing to proceed with construction

– High investor interest in England’s BESS space, eager to capitalize on lucrative revenue potential

 This valuation isn't an isolated case. Earlier this year, Richborough Energy Park followed a similar trajectory, sold by Pacific Green to Sosteneo HoldCo upon FID at $0.94mn/MW.

For dealmakers in the renewable energy space, these figures aren't just numbers—they're a testament to the sector's dynamism and the lucrative opportunities it presents.

To gain a deeper insight into M&A trends at the corporate and asset level globally, request a trial of the Enerdatics Energy Transition M&A database today.

The above analysis is proprietary to Enerdatics’ energy analytics team, based on the current understanding of the available data. The information is subject to change and should not be taken to constitute professional advice or a recommendation.

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