General Electric (GE) plans to submit a bid to buy the offshore wind turbine maker Adwen, a 50 -50 joint venture between Gamesa and Areva, this week, according to the French magazine La Lettre de l’Expansion.
The magazine did not disclose any further information apart from adding that GE could submit the bid as early as 24 August.
Back in June, Offshore WIND reported on GE entering into talks with Areva, Gamesa, Siemens and the French state to discuss the potential acquisition of Adwen. In July, German turbine maker Senvion was also reportedly preparing a bid for Adwen.
Gamesa and Areva formed the joint venture in March 2015, with both companies investing around EUR 200 million, offering two 5MW turbine types (AD 5-135 and AD 5-132) and an 8MW (AD 8-180) turbine to the market.
The company was the second largest wind turbine manufacturer in Europe in 2015, with a market share of 18.2% of grid connected capacity, according to the statistics published by EWEA (now WindEurope).
Areva waived contractual restrictions in the offshore wind joint venture to clear the path for the merger between Gamesa and Siemens.
Gamesa and Areva also signed an amendment to the shareholder’s agreement for Adwen, by which Areva has three months to either sell its share to Gamesa/Siemens, or sell 100% of Adwen’s shares to a third-party investor which may submit a more attractive binding offer during this period. The sale of the entire capital is made possible by Areva’s drag-along right on Gamesa’s stake.
At the end of this 3-month period, Areva said it will disclose the option selected for the divestiture of its shares in Adwen. The commitments made by Adwen as part of the tender process for the offshore wind farms for electricity production in France will remain borne by Adwen, Areva said.
Gamesa and Areva received commitments from the French government that Adwen’s 8MW wind turbines will be used for projects offshore France totaling 1.5GW on condition that the turbines are built in France.
GE took over Alstom’s power and grid businesses last year , which included 1.5GW of offshore wind contracts with EDF in France, scheduled for delivery by 2019. If the Adwen takeover goes through, GE will add another 1.5GW worth of orders in France to the tally.
Offshore WIND Staff