Scatec secures equity partners for major Egyptian renewable project

Scatec ASA has signed shareholder agreements for its 1.1GW solar and 100MW/200MWh battery storage hybrid project, Obelisk, in Egypt. Norfund, the Norwegian investment fund for developing countries, and EDF power solutions, an international energy player, have joined as equity partners. This collaboration enhances capital efficiency for Scatec's largest project to date, which aims to provide stable and cost-competitive renewable energy to support Egypt's energy transition.

Following the transaction, Norfund will own 25% of the Obelisk holding company, with Scatec retaining 75%. EDF power solutions will acquire 20% of the operating company. This structure leaves Scatec with a 60% total economic interest in the project, while Norfund holds 20%, ensuring Scatec maintains economic control.

Scatec's strategy involves inviting equity partners at various ownership levels to increase value creation while retaining control. The company is actively pursuing discussions with additional equity partners to further reduce its economic interest in the project.