Bain to sell Japan Wind Development to Infroneer for US$1.5 billion: sources
US private equity firm Bain Capital has agreed to sell Japan Wind Development to Infroneer Holdings, a Japanese civil engineering group, for about US$1.5 billion, two sources with knowledge of the deal said.
The sale was made through a competitive bidding process and marks a significant step up in Infroneer’s efforts to develop wind power projects, said one of the sources.
The companies are expected to sign the deal later on Tuesday (Dec 12), according to the sources, who declined to be identified as the information was confidential.
Infroneer said that its board would discuss the matter at a meeting on Tuesday.
Bain Capital, which led a management buyout of Japan Wind Development in 2015 for 9.7 billion yen (S$89.4 million), declined to comment.
Renewable assets have become increasingly attractive as Japan seeks to transition to a zero-emission economy.
Mergers and acquisitions involving Japanese companies in the renewable energy sector have climbed more than eight times to US$1.8 billion for the year to date from the same period a year earlier, marking the highest level since 2019, LSEG data showed. The number of deals at 28 is a record high.
Shares in Infroneer, which has said it is focusing on the renewable energy market as part of its medium-term business strategy, edged down 0.3 per cent in morning trade.
It has worked on two wind farms in northern Japan, one of which was sold last year.
News of the deal was first reported by the Nikkei business daily. REUTERS
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