LONDON – Bracewell (UK) LLP represented Eni in connection with the closing of its agreement with HitecVision to expand their joint venture company, Vårgrønn. At the closing of the transaction, Vårgrønn acquired Eni’s 20 percent in the Dogger Bank offshore wind project, as well as other early-stage offshore wind assets. HitecVision also increased its ownership share in Vårgrønn from 30.4 to 35 percent, with Eni holding the remaining 65 percent.
As part of the transaction, Bracewell also advised Vårgrønn on the establishment of a debt platform by a subsidiary. The financing is a structurally subordinated holdco financing of the subsidiary’s portfolio of minority interests in the Dogger Bank offshore wind projects with the initial credit facility raised by way of a UK private placement of notes to institutional investors.
The shareholders intend for Vårgrønn to be built into a material full cycle offshore wind player, targeting at least 5 GW of installed and sanctioned offshore wind capacity by 2030, with a focus on key Northern European markets.
"We are thrilled to have supported sponsors Eni, HitecVision and Vårgrønn on the closing of this landmark transaction,” said Bracewell finance partner Gordon Stewart. “This financing is another outstanding transaction for our London renewables practice and demonstrates what can be achieved by sophisticated sponsors and institutional investors, notwithstanding the challenging macro conditions in recent months.”
Bracewell lawyers involved in the transaction include:
Partners: Darren Spalding, Gordon Stewart and Oliver Irwin
Senior Counsel: Bagyasree Nambron and Nicholas Neuberger
Senior Associate: Adam Quigley
Associate: Onis Chukwueke-Uba