Aker Solutions acquires Norwegian hydropower company Rainpower
Aker Solutions has agreed to acquire Rainpower Holding AS ("Rainpower"), a leading technology provider to the hydropower industry, according to the company's release.
The acquisition builds on Aker Solutions’ growth strategy and will further strengthen its offering within renewables. Aker Solutions sees strong industrial synergies in further developing Rainpower into an innovative hydropower technology company to optimize hydropower developments and operations.
Rainpower develops, produces and delivers hydropower turbines, control systems and associated equipment for clients and projects worldwide. The company supplies equipment for new installations and performs upgrades of existing hydropower plants. Rainpower has more than 165 years of history dating back to 1853 when the Norwegian hydropower competence was developed by Kvaerner. The company has been involved in some of the world’s largest projects within hydropower development, including the Three Gorges Dam in China.
Aker Solutions has agreed to acquire 100 percent of the shares in Rainpower from a subsidiary of Aker Horizons, which announced an acquisition of Rainpower in January 2021. Aker Solutions and Rainpower have collaborated on both technical and strategic topics over the past year. Through this collaboration it has become apparent that Aker Solutions has complimentary capabilities with Rainpower, and is well positioned to realize the potential of the hydropower technology company.
The transaction is expected to be completed during the second quarter of 2022. The purchase price is about NOK 100 million, with an additional discretionary element which may bring the purchase price to NOK 150 million. A third-party valuation report has been obtained and the transaction remains subject to various closing conditions, including certain third-party approvals.
Rainpower is currently headquartered in Lillestrøm outside Oslo, Norway, and has offices in Norway, Sweden and China. The company employs about 200 highly skilled employees and offers proprietary technologies for integrated products and services to the hydropower industry worldwide. It has a strong reputation in delivering state-of-the-art technology for the hydropower industry. Rainpower has delivered turbines, control systems and equipment to most of the Norwegian hydropower plants.
Rainpower’s revenues in 2021 was NOK 345 million, and the order backlog was NOK 361 million as of December 31, 2021. The company will continue to operate under its existing brand.
Aker Solutions delivers integrated solutions, products and services to the global energy industry. Aker Solutions employs approximately 15,000 people in more than 20 countries.
