Voltalia pockets EUR 490m from oversubscribed share issue

Renewable power plants operator Voltalia SA (EPA:VLTSA) pocketed EUR 490 million (USD 514.4m) gross from a capital increase aimed at securing funds to back its 2027 goal for at least 5 GW of capacity in operation or under construction.

The French firm said on Monday it has issued 35.8 million new shares under the deal, which resulted in total demand for 40.3 million shares. With the newly-issued stock, Voltalia's market capitalisation stands at EUR 2.35 billion on an undiluted basis as of December 2.

Voltalia Investissement, the French group’s reference shareholder, has lifted its stake to 71.30% by purchasing EUR 345.2 million worth of shares, while Proparco, a subsidiary of French development agency Agence Francaise de Developpement (AFD) invested EUR 12.3 million and now owns 2.5%. The free float has increased to 24.4% of Voltalia’s share capital from 23.72% prior to the offering.

At least EUR 450 million from the raised funds are planned to go for the construction of new plants, while any remaining proceeds will go for the company’s services business and possible acquisitions in Africa, Latin America or Europe. Voltalia estimates it will need between EUR 2.5 billion and EUR 3 billion in investments to achieve the 2027 capacity target.

The newly issued stock is expected to start trading on Euronext Paris on December 7, 2022.

(EUR 1.0 = USD 1.050)

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