August 8, 2021

Supergas purchases 30% of an American cleantech company for 25.5 million dollars

The gas distributer will enter into an investment with Balanced Rock Power, which has 11 photovoltaic projects in development in the scope of 3.5 Giga and storage projects in the scope of 10.5 Giga. Over a period of 5 years, Supergas will provide a shareholder's loan of up to 50 million dollars alongside bank guarantees of approximately 80 million dollars.

The gas distributor, Supergas, has signed detailed agreements to purchase 30% of the American renewable energy company Balanced Rock Power for 25.5 million dollars. For 11 BRP photovoltaic projects in various stages of development in the scope of 3.5 Gigawatts and storage projects in the scope of 10.5 Giga - all of which will be completed in approximately 3-4 years.

According to the agreements, BRP's management team will remain in office for at least another 5 years. Supergas will provide BRP, for a period of 5 years, with financing of up to 50 million dollars in the form of a shareholder's loan, which will bear an annual interest rate of 7%. Supergas will further provide bank guarantees for the sum of 77.7 million dollars at an annual interest rate of 4.25%.

Supergas states in the report that "the agreements include veto rights in the Board of Directors of BRP with respect to key business and operational decisions, agreements regarding the manner of current distribution of ongoing funds from BRP, forced sale clauses, (Tag along rights, determination of certain Supergas rights in relation to BRP projects, standard representations in similar transactions and so on".

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