Private equity shareholders in Corporacion Eolica (Cesa) are looking forward to a significant return on their investments as discussions continue on an offer in the region of €1.5bn. Such a deal would represent a return of around six times its original investment for Bridgepoint, which bought a stake in the company in 2004.
A source close to the deal said that discussions were ongoing but dismissed earlier reports that an agreement had been reached. The source said the price being discussed included debt but nevertheless represented a significant return for Cesa’s owners.
Risk capital firm Mercapital owns 30% of Cesa, while private equity firm Bridgepoint holds 23.75% of the wind energy company, and Gala Capital holds 7.5%.
Last May, Gala Capital acquired a 7.5% stake in Cesa for €24m, which is worth more than €80m at the level currently being discussed. In 2004,
Bridgepoint bought its 23.75% stake in Cesa for €45m. That shareholding is now worth €260m – a return of more than six times the original investment.
Cesa was established as a unit of Spanish energy and environmental business Guascor. Spanish investors including Grupo Ferrovial chairman Rafael del Pino have stakes in Ukraine-based Gala, which is promoted by financier George Soros.