EIG is a leading specialist investor in energy and energy-related infrastructure based in Washington, DC with approximately US$15 billion under management.
The Newco will sign the existing ROFO (Right of First Offer) agreement between Abengoa and Abengoa Yield (Nasdaq:ABY), reinforcing the growth opportunities for Abengoa Yield while allowing the Newco to reinvest in new projects contracted by Abengoa in the future.
As part of this agreement, EIG will hold a majority stake in the Newco, that will consolidate these projects, with Abengoa retaining a minority stake. As of today, the transaction is under due-diligence phase and the objective is to execute a binding agreement by the end of January ensuring a prompt investment in the vehicle.
This strategic alliance allows these two global groups to join up forces to finance power and infrastructure projects under construction around the world. Abengoa and EIG have maintained a successful relationship since 2007 when EIG co-invested with Abengoa for the development of an ethanol plant in France.
About Abengoa
Abengoa (MCE:ABG.B/P SM) (Nasdaq:ABGB) applies innovative technology solutions for sustainability in the energy and environment sectors, generating electricity from renewable resources, converting biomass into biofuels and producing drinking water from sea water.