Information on the Target

Foresight Group ("Foresight") has announced the financial close of the acquisition of the greenfield 231MW Skaftåsen onshore wind project located in the Harjedalen municipality of Central Sweden from Arise AB ("Arise"). This significant wind project marks Foresight’s first venture into the Nordic region and constitutes the largest wind farm within its current portfolio.

Skaftåsen will stand out as the first commercial-scale project to utilize the cutting-edge Siemens Gamesa 5x platform, which includes 35 SG 5.8-155 turbines, capable of operating at a power rating of 6.6MW. Once operational, the wind farm is expected to generate substantial renewable energy while adhering to Foresight’s Environmental, Social, and Governance (ESG) criteria.

Industry Overview in Sweden

Sweden has long been recognized as a leader in renewable energy production, with a commitment to sustainability and climate action dates back several decades. The Swedish government has set ambitious targets for reducing greenhouse gas emissions, aiming to reach net-zero by 2045. In recent years, the wind energy sector has seen remarkable growth, bolstered by favorable policies and financial incentives that stimulate investment in clean energy technologies.

In 2022, wind energy accounted for nearly 50% of Sweden’s total electricity generation, cementing its position as one of the most prominent sources of renewable energy in the country. This rapid expansion is attributed to advancements in technology, which have improved the efficiency and feasibility of onshore and offshore wind projects.

Sweden's wind energy market is characterized by strong participation from both local and international investors, indicating a healthy competitive landscape. With ongoing innovations in turbine technology, such as the Siemens Gamesa 5x platform, the industry is set to continue its momentum, enhancing the overall efficiency of power generation capacities.

The Swedish government’s commitment to green energy, coupled with strong public support and active community engagement, positions the wind sector as a vital contributor to the nation's goals of energy independence and sustainability.

The Rationale Behind the Deal

This acquisition aligns with Foresight’s strategic aim to expand its renewable energy portfolio while enhancing diversification across various energy sectors. By investing in the Skaftåsen project, Foresight seeks to further its commitment to reducing carbon emissions and promoting sustainable practices that align with global climate targets.

The Skaftåsen wind project is projected to generate energy equivalent to saving approximately 425,000 tonnes of CO2 emissions annually, compared to traditional coal-powered electricity generation. This significant impact underscores the project's value and aligns well with Foresight's objectives of contributing positively to the environment and local community.

Information about the Investor

Foresight Group is an established player in the infrastructure investment sector, particularly focusing on renewables. As a sustainability-oriented investment manager, Foresight aims to provide significant contributions towards the global agenda of sustainable development and climate change mitigation. The firm manages an extensive portfolio, which includes solar, wind, and other renewable projects across various geographies.

With a robust pipeline of upcoming projects, Foresight is constantly exploring additional opportunities for investment both domestically and internationally. The firm’s expertise and commitment to sustainability position it well to take advantage of the increasing global shift towards renewable energy technologies.

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The acquisition of the Skaftåsen project represents a notable milestone for Foresight Group and reflects a strategic move into the rapidly expanding Swedish wind energy sector. Given Sweden's commitment to green energy and the anticipated growth of wind power, this investment aligns well with current market trends, enhancing Foresight's position as a leading renewable energy investor.

By pioneering the use of the Siemens Gamesa 5x platform, Foresight is tapping into cutting-edge technology that holds the potential to significantly increase energy efficiency and output. The project is expected to generate considerable renewable energy while contributing to local economic development through community revenue sharing, enhancing its overall value proposition.

Furthermore, as climate change increasingly becomes a focal point for investors, the Skaftåsen project not only emphasizes Foresight’s dedication to sustainability but also positions it favorably within the evolving investment landscape that prioritizes environmentally responsible initiatives. Overall, this acquisition is projected to enhance Foresight's growth trajectory and reinforce its commitment to impactful renewable energy solutions.

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