Hanwha Solutions Acquires French Solar and Wind Power Developer for 984.3 Billion KRW

RES Wind Power. Photo by Hanwha Solutions

[Asia Economy Reporter Choi Dae-yeol] Hanwha Solutions announced on the 9th that it has agreed to acquire all shares of RES Mediterranee SAS (hereinafter RES France), a French renewable energy specialist developer, for 727 million euros (984.3 billion KRW).

The company is a 100% subsidiary of the UK-based RES Group, established in 1981. RES Group operates renewable energy businesses such as solar power and onshore/offshore wind power in 10 countries, mainly in Europe. Hanwha stated that RES France has ranked within the top 10 in terms of renewable energy project orders from the French government over the past five years.

The portion Hanwha Solutions is acquiring this time includes RES France’s development and construction management division and development rights for 5GW of solar and wind power plants. The acquisition is scheduled to be completed by October. Hanwha expects this acquisition to significantly strengthen its renewable energy development business foundation in Europe.

The company explained, "With this acquisition, we are expected to firmly establish ourselves as a ‘total energy solutions’ company," adding, "because the renewable energy business rights will increase to 15GW, and we will also secure wind power business capabilities, which we plan to enter as a new business."

Hanwha Q CELLS currently holds renewable energy business rights totaling 10GW worldwide. After this acquisition, its business rights in the European region will increase to 10GW. This will enable economies of scale and provide a stable supply channel for Hanwha Q CELLS’ existing core business of solar modules in the European market. Hanwha Q CELLS has been exploring new renewable energy development businesses combining solar and wind power.

Starting with this acquisition, Hanwha Q CELLS plans to increase investment in next-generation solar cells domestically. Overseas, following last year’s acquisition of Jelly, a virtual power plant software company, it is also pursuing additional mergers and acquisitions of companies developing climate change response technologies. Earlier this year, it raised 1.35 trillion KRW through a rights offering and recently signed a 5 trillion KRW green energy promotion agreement with KDB Industrial Bank. For this acquisition as well, it has decided to apply for the KDB Carbon Spread product from the Industrial Bank.

Kim Hee-chul, CEO of Hanwha Q CELLS, said, "Since we are securing development know-how accumulated over more than 20 years, we expect stable growth in the European market," and added, "We will continue to make bold investments in climate change response technologies and companies to become a global eco-friendly energy company representing not only Korea but the world."