Verdant Energy (“Verdant”) and Aura Power Developments Limited (“Aura Power”) have merged to form one of the UK’s leading independent power producers (IPPs) focused on solar and battery energy storage systems (BESS).
The combined business will be led by Aura Power Founder and Chief Executive Simon Coulson, who will retain a minority stake.
The merger brings together Verdant’s operating and under-construction solar and BESS asset base with Aura Power’s complementary, contracted portfolio. Together, the businesses will create a platform comprising c.1GW of operating and under-construction solar and battery storage assets in the UK, supported by a further c.10GW development pipeline. The combined business will also continue the selective development of Aura Power’s BESS pipeline in Europe.
Alongside the merger, CVC DIF secured financing from Eiffel Investment Group to support the transaction, refinance existing junior facilities and fund future growth across the combined pipeline.
Founded in 2013, Aura Power has developed more than 2.1 GW of solar and battery storage projects to the ready-to-build or commercialised stage in the UK and internationally, in partnership with existing shareholder ib vogt.
The company recently transitioned to an IPP model, reaching financial close on six UK solar projects and energising its first project, Kemble, earlier this year.
Since its launch in 2022, Verdant has developed a portfolio of c.660MW of assets, creating an operating and under-construction asset base comprising utility-scale solar and co-located battery storage assets across the UK.
The combined business will employ more than 75 people, with its leadership team comprising senior individuals from both companies across development, construction, commercial, legal and finance.
Simon Coulson, Founder and Chief Executive of Aura Power, commented: “This merger with Verdant Energy, with the backing of CVC DIF, marks a transformative milestone for Aura Power. By combining our extensive development pipeline with Verdant’s robust delivery track record, we are perfectly positioned to scale our IPP model. The deal provides us with both the financial strength and operational expertise to accelerate the delivery of critical solar and battery storage infrastructure, helping the UK meet its ambitious green energy targets.”
Caine Bouwmeester, Partner and Head of Renewable Energy at CVC DIF, added: “This transaction builds on our original investment in Verdant, bringing together two highly complementary businesses to create a leading UK solar and BESS IPP with the scale, pipeline and delivery capability to generate long-term value. We look forward to partnering with Simon and the team as they take the business into its next phase of growth.”
CVC DIF’s investment has been made through DIF Infrastructure VII (“DIF VII”).
Akereos Capital acted as financial and debt adviser, CMS served as legal adviser, TLT acted as real estate adviser, DNV provided technical advisory support, and PwC advised on financial, tax and structuring matters to CVC DIF.
Burges Salmon acted as legal adviser to Aura Power, while Norton Rose Fulbright acted as legal adviser to ib vogt.
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