3i Infrastructure PLC (LSE:3IN) said it has received a binding offer for its 33% stake in European renewable energy producer Valoreum worth €309 million or 15% more than last year’s recorded book value.
When the deal is completed, 3i Infra added it expects to have earned a 21% total return from its investment in the wind and solar specialist power generator in 2016.
3iINfra added that over the eight years, Valorem's operational asset base has grown five-fold to over 850MW while its development pipeline has grown to 6.6Gw.
Scott Moseley and Bernardo Sottomayor, managing partners and co-heads of European Infrastructure, 3i Investments said: “This divestment provides us with the opportunity to crystalise a significant uplift to the carrying value, the proceeds of which will be used to reduce our drawings on our revolving credit facility.”