Today, Infranode I (Infranode), a Nordic infrastructure investment fund, and BeGreen, a Danish developer of largescale solar parks, have signed an agreement that will lead to the construction of the largest solar park in the Nordics – and the seventh largest in Europe.
The solar park, Vandel 3, utilizes the land from the decommissioned Vandel airport in the municipality of Vejle in Jutland, Denmark. The park covers 180 hectares equaling 250 soccer fields. With an anticipated annual production of 152,000 MWh, Vandel 3 will cover the annual consumption of around 34,000 households and reduce the carbon footprint with 190,000 tons CO2e.
Following Infranode's investment, BeGreen will continue to hold a minority stake in Vandel 3 and manage the construction, operations and maintenance of the solar park.
The construction of the new park will start early 2020, and Vandel 3 will produce the first power in 2021.
Philip Ajina, Co-founder and Partner of Infranode, says:
“The investment in Vandel 3 is a very important milestone for Infranode, marking our entry into the Danish market for infrastructure investments. We’re excited to do so by investing in the largest solar park ever built in the Nordics, from day one 100% free of subsidies. This investment is not only commercially attractive for our investors, including Nordic pension funds and the EIB, but is also making a significant contribution to the transition to a low-carbon and resilient economy.”
Anders Dolmer, Co-founder and Chairman of BeGreen A/S, continues:
“We would like to commend Infranode on its professionalism and its excellent deal team throughout this process. Infranode has the highest standards when it comes to infrastructure investments in the Nordics and with their long-term sustainability commitment, forms an ideal partnership between Infranode and BeGreen.”
Lars Møller Salling, CEO of BeGreen A/S, says: “This is the biggest project we have developed in BeGreen, but also to date one of the largest in Europe. We’re looking forward to working together, setting new standards within the industry.”
Joel Löfroth, Investment Manager of Infranode AB, says: “This investment fits perfectly into Infranode’s strategy for long-term sustainable infrastructure investments. We look forward to delivering more investments in Denmark within the energy, transport, digital and social infrastructure sectors and I am convinced that, as a partner focused investor with interest in co-owning with both private and public sector owners, there will be ample of opportunities going forward.”
The seller was advised by Deloitte (M&A, financial and tax), Kromann Reumert (legal) and Krug & Schram (technical).
The buyer was advised by EY (M&A, financial and tax), Plesner (legal) and K2 Management (technical) and AFRY (commercial).
Infranode is a long-term infrastructure investor in the Nordic region within energy, transport, telecommunications and social infrastructure. The Infranode funds have total commitments of c. EUR 750 million from well-known institutional investors such as KPA Pension, Folksam, European Investment Bank and AP4, the Fourth Swedish National Pension Fund. Infranode AB has a local team of investment professionals and offices in Helsinki, Stockholm, and Oslo. Areim AB is the AIF manager of the Infranode funds and Infranode AB provides advisory services to the AIF manager.
BeGreen develops, constructs, maintains and manages large scale solar parks and energy storage solutions in Denmark, Sweden and Poland primarily. It is BeGreen’s firm strategy to construct solar parks in partnership with municipalities, landowners, Tier 1 suppliers, grid operators and investors without any subsidies at all, and sell electricity to consumers, who want sustainable and long-term stable electricity at low prices.