Infrastructure

    Advising on a landmark renewable energy transaction

    Macquarie Capital acted as exclusive financial adviser to Partners Group on its sale of CWP Renewables to Squadron Energy, creating one of Australia’s largest renewable energy investors, operators, and developers.1

    Sector Infrastructure
    Sub-sector Energy
    Location Australia

    Opportunity

    Partners Group is a leading global private markets firm whose clients owned CWP Renewables (CWP), a major renewable energy platform in Australia.

    Partners Group built CWP into a platform with five operating wind farms across the east coast of Australia, including Sapphire Wind Farm, one of the largest in New South Wales.2 They provide renewable energy to major Australian companies such as Transurban, Woolworths Group, Sydney Airport, Commonwealth Bank and Snowy Hydro.

    Squadron Energy (Squadron), part of the Tattarang group of companies, is a 100 per cent Australian owned and operated energy company.1


    Approach

    Using deep expertise and detailed knowledge of the energy sector and renewables, Macquarie worked closely with Partners Group and the CWP management team to demonstrate how the business is contributing to the energy transition and the renewable energy needs of the domestic and international investor base.

    Macquarie executed a co-ordinated global marketing campaign, maximising the bidding field, which was critical given the large and complex nature of the CWP business, and provided investors early access to the CWP management team.

    Macquarie also arranged a market-leading stapled portfolio debt package with highly competitive terms for the benefit of bidders which was utilised by Squadron. The portfolio debt staple was secured against multiple assets, had a flexible structure that included a construction facility and a corporate-style term facility with pre-agreed sizing metrics for the inclusion of future projects.

    Outcome

    This landmark transaction is one of Australia’s largest in the renewable energy sector.3

    It brings a significant portion of Australia’s renewable energy assets under local ownership and unlocks a pipeline of wind, battery and solar development sites.1

    Beyond this, the acquisition is expected to create thousands of jobs and improve Australia’s access to reliable renewable energy. It will also see Squadron become one of Australia’s largest renewable energy investors, operators, and developers and bring its current operating portfolio to 1.1 gigawatts (GW).4

    Australian-owned

    bringing renewable energy assets under local ownership1

    1.1 GW

    Squadron’s current operating portfolio4

    20 GW

    Squadron’s Australian renewable energy development pipeline4

    Multi award-winning transaction

    Asia-Pacific Acquisition Deal of the Year - PFI Awards 2023

    Renewables Acquisition of the Year, APAC - IJInvestor Awards 2023

    1. 'Squadron to lead Australia’s energy transition’, Squadron Energy, December 2022, https://www.squadronenergy.com/news/squadron-to-lead-australias-energy-transition
    2. ‘Sapphire Wind Farm NSW– Completed’, Zenviron, August 2023, https://zenviron.com/projects/sapphire-wind-farm
    3. Inframation transaction database, December 2022.
    4. ‘Unlocking Australia’s energy future’, Squadron Energy, August 2023, https://www.squadronenergy.com/about

    Image credit: Squadron Energy and Sapphire Wind Farm 

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