Keppel Corporation and Keppel Infrastructure Trust (KIT) are jointly acquiring a 16.3% stake in Fäbodliden II, a 17MW Swedish onshore wind farm for €4.7m.

Keppel’s and KIT’s stakes are 2.9% and 13.4% respectively, with the remaining 83.7% owned by Kommunal Landspensjonskasse (KLP) and MEAG Munich Ergo Asset Managementand Fred Olsen Renewables AS (FORAS).

This is part of an earlier transaction when Keppel and KIT each acquired a 33.33% stake in a joint investment vehicle with KLP and MEAG. The partners have a 49% share of an initial portfolio of onshore wind energy assets across Norway and Sweden sponsored by FORAS, which was completed in September 2022.

As part of that deal Keppel, KIT, KLP and MEAG also have the exclusive right and obligation to co-invest in 49% of all of FORAS’ eligible pipeline of onshore wind energy assets in Sweden and the UK when the assets achieve final investment decision.

Fäbodliden II, which is part of this eligible pipeline of assets, is currently expected to be completed in the second half of this year.

Loh Chin Hua, CEO of Keppel Corporation, said: “Amidst global efforts to decarbonise and the increasing demand for renewable energy, Keppel is expanding our involvement in the renewable energy space, in line with Keppel’s Vision 2030 goal to grow the group’s portfolio of renewable assets.”

Jopy Chiang, CEO of Keppel Infrastructure Fund Management, said: “Fäbodliden II is the first of the eligible wind assets from FORAS that KIT will be acquiring as part of this partnership.”

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