Oslo, Norway, February 15, 2022 /PRNewswire/ — Aker Horizons ASA today announced its financial results for the fourth quarter of 2021, in which the planet-positive investment firm’s net asset value increased to NOK 16.9 billion from NOK 16.1 billion at the end of the previous quarter.
“We took several steps in the fourth quarter to strengthen our financial position in view of the volatility in capital markets,” said Kristian Røkke, managing director of Aker Horizons. “While we are seeing an increase in the cost of capital in the public markets, we are seeing the market for private transactions continue to be strong, as evidenced by the disposal of the Aela platform into Mainstream. During the quarter, Aker Horizons and our portfolio companies also made further progress in securing new projects and partnerships, such as winning FEED for the Net Zero Teeside CCS project and securing wind and solar projects in South Africa.”
Mainstream Renewable Power made significant industrial progress in key markets during the last three months of the year. Working with partners, Mainstream secured 1.27 GW of new wind and solar projects in South Africawhile in Vietnam, Mainstream has secured an investment decision from local authorities for the first 200 MW of the 1.4 GW Phu Cuong Soc Trang offshore wind farm. The company also raised 90 million euros in equity to accelerate new market entries and develop renewable assets. Aker Horizons participated in the capital increase in proportion to its 75% stake in Mainstream.
Aker Offshore Wind, Ocean Winds and Statkraft have signed a collaboration agreement to tender, develop, construct and operate floating offshore wind farms and associated infrastructure for the Utsira North license area. EDP Renovaveis, SA and EDP Ventures SGPS (jointly “EDP”) exercised their option to acquire shares of Principle Power, Inc. from Aker Offshore Wind resulting in equal ownership and a positive impact on Aker Offshore Wind’s cash position of approximately NOK 100 million. Subsequent to the end of the quarter, the Aker Offshore Wind consortium and Ocean Winds in South Korea was awarded power operating licenses for a total capacity of 870 MW, a key step towards achieving some of the world’s first commercial-scale floating wind farms. The consortium has obtained exclusive rights from the city of Ulsan to develop three offshore areas of up to 1.2 GW.
Aker Horizons and Hanwha Solutions, one of the world’s leading manufacturers of photovoltaic solar panels, have joined forces in REC Silicon to explore the expansion of the solar value chain in the United States. Through a private placement and the acquisition of Aker Horizons’ shares in REC Silicon, Hanwha Solutions has become a strategic investor in REC Silicon, and the transaction brings together two of the leading producers in different parts of the solar PV value chain.
Aker Carbon Capture has been awarded, via a consortium, a FEED contract for BP’s Net Zero Teeside gas-to-power conversion project, which includes a CCS installation of approximately 2 million tonnes of CO2 per year. The company also secured its second firm EPC project – the delivery of a modular Just Catch™ carbon capture plant to the Twence waste-to-energy plant in the Netherlands. The plant will capture 100,000 tonnes of CO2 per year and is expected to start operating at the end of 2023. In the UK, waste management company Viridor has chosen Aker Carbon Capture as its technology partner to carry out carbon capture at five of its waste-to-energy plants in the country.
Aker Clean Hydrogen’s project funnel grew by 0.2 GW to 2 GW in the fourth quarter. Project milestones included the completion of the feasibility phase of the Hegra Green Ammonia project with Yara and Statkraft and the completion of preliminary phase studies for the Aukra Blue Hydrogen project, where estimates show a competitive discounted cost. hydrogen. The company has also entered into a series of partnerships with Grieg Edge, Aker BP and Kuehne + Nagel to enable green fuel offtake in the maritime sector.
Strengthen Aker Horizons
Aker Horizons has taken several steps to raise a total of NOK 3.4 billion in additional cash during the fourth quarter and had cash NOK 5.4 billion from T4. The company has raised capital from various sources.
In November, Aker Horizons raised NOK 1 billion within the framework of a private placement of new shares NOK34.50 per share. The placement was oversubscribed several times with strong domestic and international demand.
Aker Horizons Resurrected NOK 1 billion sale of Aker Carbon Capture shares to three international institutional investors, including UK fund manager Baillie Gifford.
Aker Horizons increased its revolving credit facility (RCF) by 100 million euros at 500 million euros. The RCF is undrawn at T4-21.
Aker Horizons has agreed to sell shares of REC Silicon in a transaction with Hanwha Solutions from South Korea which saw the two companies join forces in REC Silicon. The product of NOK 438 million was received in January 2022.
Aker Horizons has launched a series of strategic initiatives in the Narvik region to establish green value chains for energy-intensive industries in northern norway. Working with the local community, Aker Horizons aims to develop industrial activities to convert renewable energy into green jobs and sustainable export industries. The company continues to prepare and develop mature project sites and opportunities together with business partners and authorities.
In December, Aker ASA appointed Yngve Slyngstad, former CEO of Norges Bank Investment Management (NBIM) from 2008 to 2020, as CEO of Aker Asset Management, effective March 1. Aker Horizons is uniquely positioned to create attractive investment opportunities based on its technology and access to a steady stream of new projects.
Aker Horizons is actively working to further develop its ability to originate and mature early-stage decarbonization projects, and to optimize the process that connects long-term funding sources and capital-intensive green projects.
The Q4 presentation is attached and can be downloaded from akerhorizons.com.
Aker Horizons will present the results, followed by a Q&A session, at 2:00 p.m. CET today. The presentation will be broadcast on the following link:
This information is considered inside information under the EU Market Abuse Regulation and is subject to the disclosure requirements of EU Regulation 596/2014 and Norwegian Securities Trading Act § 5-12. This stock announcement was published by Ivar SimensenCommunications, Aker Horizons on February 15, 2022 at 07:00 CET.