Asdod, Israel --News Direct-- Nofar Energy Ltd.
Nofar Energy LTD (“Nofar”), a global renewable energy power producer with activity across Europe and Israel, acquired 67% of the interest in Blue Sky Utility (“Blue Sky”), a US based, Commercial and Industrial (“C&I”) solar and storage developer for a total consideration of $91M. The acquisition capital will be divided up between $26M of initial purchase and equity injection into Blue Sky and a debt facility of $65M provided for future growth investments.
Blue Sky is a renewable energy and storage developer, based out of Napa, CA. Blue Sky specializes in a unique business model tailored to the C&I space with a focus on multitenant real estate. The company’s business model is characterized by scalability and uniformity. The company currently operates and manages over 20MW of C&I assets and maintains a near term pipeline of over 80MW of new solar and storage installations.
For Nofar Energy, this transaction represents its entry into the U.S., which aligns to the company's strategy to expand its operations into the world’s leading markets and synergetic to Nofar’s expertise in the C&I space. Both the US market and the C&I segment continue to demonstrate robust growth with an estimated increase of 25% in 2021 vs. 2020. Nofar and Blue Sky expect the investment to accelerate the execution of Blue Sky’s existing near-term pipeline and the implementation of several hundreds of MW in development.
“Nofar engaged in a thorough investigation of the US market,” noted Ofer Yanay, Nofar’s founder and Chairman, “and through this process we became aware of Blue Sky and their unique business model. Blue Sky’s qualities resemble those of Nofar Energy; an emphasis on C&I projects, high level of scalability and uniformity and a set of capabilities and execution track record that present significant barriers to imitation.” Nadav Tana, Nofar’s CEO added, “we have singled the U.S. market as one of Nofar's most important destinations and I am pleased to announce this significant investment.”
“We’re excited to be joining forces with Nofar,” explained Ran Bujanover, Blue Sky’s President, “in Nofar we found a partner that shares our market philosophy and has the capacity to support our acceleration.” Barend Venter, Blue Sky’s CEO further elaborated, “Nofar’s excellence in the C&I space demonstrated real synergies. The combination of our two companies has the potential to create a real powerhouse in the local C&I space.”
Beta Finance served as financial advisor, Lummus Consultants as technical advisors, ICF as market advisors, KPMG as accounting and tax advisors and Barnea Jaffa Lande & Co and WilmerHale LLP served as legal counsel to Nofar Energy. Garrett Stiepel Ryder served as legal counsel to Blue Sky.
About Blue Sky Utility: Blue Sky Utility LLC is a privately-held renewable energy and storage company headquartered in Napa, California. Blue Sky develops, builds and manages C&I solar and energy storage facilities throughout the United States. Blue Sky’s unique business model allows commercial real estate stakeholders to benefit from on-site affordable renewable energy and storage solutions. Blue Sky owns 15MW and operates over 20MW of solar assets, with an existing near-term pipeline of over 80MW and several hundred of MWs in development. Learn more at www.blueskyutility.com.
Nofar Energy (O.Y. Nofar Energy LTD.) is a publicly traded company at the T.A Stock Exchange (TASE), with a global renewable energy power producing activity across Europe, Israel and the US. Founded in 2011, the company has evolved at incredible speed thanks to its multidisciplinary capabilities and innovative approach.
Nofar Energy has strong internal capabilities which translates into a competitive advantage, as it conducts the development, design, permitting, planning, financing, constructing, operating and maintenance, and long-term holding of its projects. Integrating these capabilities enables Nofar to promote projects throughout the entire value chain while maintaining strict standards.
The company operates in the Renewable Energy industry, and its activities include ground-mounted solar projects, floating solar projects, rooftop solar projects, and electricity storage projects. Nofar Energy has developed an impressive portfolio of projects in Israel and Europe, containing thousands of megawatts of power producing projects.
Learn more at www.Nofar-Energy.co.il/en
Dikla Ivry Pardnoy
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