Macquarie gets EU nod to buy into Norsk Hydro's renewables ops

The European Commission (EC) has given the go-ahead to Macquarie Asset Management’s deal to acquire a 49.9% stake in Hydro Rein, the renewable energy business of Norwegian aluminium supplier Norsk Hydro ASA (OSE:NHY).

The contemplated transaction is not expected to hurt competition as the companies are not active in the same or vertically related market, the EU anti-trust regulator said on Tuesday. It cleared the deal under the simplified merger review procedure.

As agreed in October 2023, the asset management arm of Aussie financial services giant Macquarie Group Ltd (ASX:MQG) will buy the interest in Hydro Rein for USD 332 million (EUR 309.2m) in equity. Oslo-based Norsk Hydro will keep a controlling interest of 50.1%.

Following the deal, Hydro Rein will operate as a joint venture (JV) with a 6.9-GW gross portfolio of renewable energy projects at different stages of development, located in Brazil, Denmark, and Sweden. All of Hydro Rein’s energy solution projects will also be included in the JV but its majority owner will keep some Norwegian onshore wind projects that are located close to its smelters. Hydro intends to develop those alongside local partners.

(USD 1.0 = EUR 0.931)

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