Marubeni, Mainstream sign €100m equity investment deal

6 August 2013 (Last Updated August 6th, 2013 18:30)

Japan-based trading company, Marubeni, has signed a €100m equity investment deal to acquire about 25% interest in Mainstream Renewable Power.

Japan-based trading company, Marubeni, has signed a €100m equity investment deal to acquire approximately 25% interest in Mainstream Renewable Power.

As part of the agreement, the Japanese company will obtain rights to represent on the Mainstream board of directors along with Barclays, which invested in Mainstream in 2008.

Both companies will work closely together to accelerate Mainstream's key projects across multiple jurisdictions.

Marubeni has participated in the development and operation of wind power generation projects in Gangwon, South Korea and the Hallett 4 Project in Australia.

"Both companies will work closely together to accelerate Mainstream's key projects across multiple jurisdictions."

The company is currently involved in a number of geothermal power generation projects, including an independent power producer (IPP) project in Costa Rica.

Mainstream has more than 19GW in its pipeline of wind and solar projects across four continents and operates in South Africa, Ireland, Chile, and Canada.

The company has also been granted planning consent by East Lothian Council for the onshore cable works to connect its 450MW Neart na Gaoithe offshore wind farm, located off the coast of Fife, to National Grid.

Mainstream Renewable Power chief executive Eddie O'Connor said, "I am delighted to be working with a company like Marubeni where their strategic mission and values are so closely aligned to Mainstream's.

"This investment is a game-changer for Mainstream, allowing us to focus on accelerating our project portfolios across a range of markets as well as entering into new strategic jurisdictions which present strong value opportunities for our business."

The latest deal is subject to shareholder approval and also represents the largest single equity investment in its five-and-a-half year history.

Energy