Vinci completes the acquisition of ACS’s energy activities for 4.9 billion euros


(Boursier.com) – Vinci completes the acquisition of the energy activities of ACS (Cobra IS). The group refers to a major step in its strategy to create a world leader in engineering, works and services in the energy sector and develop renewable energy concession projects. The acquisition price reached 4.9 billion euros, including the cash of the new group.

Thus, following the agreement announced on April 1, 2021, the acquisition of ACS’s energy activities was finalized this morning. The scope of the acquisition covers almost all of the contracting activities of the ACS Industrial Services division, 9 greenfield concession projects under development or under construction – mainly electricity transmission networks in Latin America -, as well as the development of renewable energy projects.

Vinci thus intends to enrich its portfolio of concessions and extend its average maturity, while contributing to the environmental transition.

This acquisition benefits from strong growth levers. The activities and geographical presence of Cobra IS are complementary to those of Vinci, with the company’s recognized expertise in the realization of turnkey EPC projects (Engineering-Procurement-Construction) in the energy sector and an anchor strong local in the Iberian Peninsula and Latin America. Vinci’s business model will be enhanced by Cobra IS’s expertise in the development of renewable energy concessions. The group intends to become a significant player in this sector, with new opportunities identified in the short and medium term, ultimately representing a total capacity of around 15 GW, mainly in photovoltaics and onshore wind power, to which could be developed. add additional gigawatts in offshore wind. Vinci’s financial strength will be an additional asset to accelerate the growth of the new group in the management and operation of renewable energy assets over time.

The price of the transaction, entirely financed by the available cash of Vinci, comes to 4.9 billion euros, i.e. an enterprise value, initially agreed between the parties, of 4.2 billion euros to which adds an amount of 700 million euros corresponding to the cash flow of the new group as well as to various adjustments.

ACS will receive a price supplement of 40 million euros for each new gigawatt of ready-to-build renewable energy developed by Cobra IS over a period of 8.5 years, up to a total limit of 15 GW, i.e. a maximum additional amount of € 600 million.

In addition, Vinci and ACS have finalized a joint-venture agreement, providing for the creation of a new entity which will have the right to acquire, at market price, the renewable energy assets developed, financed, built and connected to the electricity grid by Cobra IS. Vinci will own 51% of this entity and will fully consolidate it.



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