SEB NORDIC ENERGY FUND THROUGH LOCUS ENERGY ACQUIRES THREE HYDRO POWER PLANTS IN SE4 FROM VARBERG ENERGI

SEB Nordic Energy Fund, through Locus Energy, has completed the acquisition of three hydropower assets located along the Nissan River in Halmstad County, SE4. The assets – Maredsfors, Oskarström Övre, and Oskarström Nedre – contribute a combined annual production of approx. 24 GWh annual power production, strengthening Locus Energy’s growing renewable energy portfolio in southern Sweden.

The three assets are run-of-river hydropower plants built between the early 20th century and the mid 1980’s and have strong potential for technical upgrades within existing permits, which is in line with Locus Energy’s strategy to use and develop existing assets for a prolonged and increased sustainable energy production. Thus, the investment underscores both SEB Nordic Energy Fund’s and Locus Energy’s commitment to long-term, sustainable energy production.

“This acquisition represents a sound investment that aligns closely with the SEB Nordic Energy Fund’s strategy of securing long-term, sustainable, and stable energy assets. Hydropower is a cornerstone of the Nordic energy system, and these assets will both strengthen grid stability and contribute to the energy transition,” says Elin Löfblad, Portfolio Manager at SEB Nordic Energy.

The assets are strategically located in SE4, an area with high energy prices where hydropower offer both renewable power production and an important balancing function contributing to grid stability. Together with Locus Energy’s other portfolios of wind power and battery energy storage systems, these added hydro power assets will be a part of creating a system premium in line with Locus Energy’s strategy of combining assets to reach the synergy effects of a well-balanced and diversified portfolio.

The assets close proximity to Locus Energy’s other assets in price area SE3 and SE4 allows for a more effective operations and management strategy, which provides operational efficiencies, shorter response times, and more cost-effective maintenance across.

“ We are pleased to add these hydropower plants to our portfolio. They fit well with our existing operations, particularly through the clustering effect with other assets in SE3 and SE4. With the potential for technical upgrades, these plants will enable us to deliver more locally produced, renewable energy while also supporting a more stable grid” says Niklas Sörensen, Founding partner & CEO at Locus Energy.

The successful completion of this transaction was made possible through a close and constructive collaboration with Varberg Energi over the summer. Both parties have worked with a shared focus on ensuring a smooth transfer process, maintaining the long-term value of the plants, and securing their continued contribution to the local energy system.

“We are proud to have operated these assets for many years and are confident that under Locus Energy’s ownership they will continue to contribute positively to the region’s energy system. Selling to a dedicated renewable energy operator ensures these plants remain valuable resources for both the community and the grid.” says Björn Sjöström, CEO at Varberg Energi.

SEB Nordic Energy Fund is focusing on direct investments in renewable energy infrastructure assets in the Nordic region. Investments are made in small-scale hydropower, wind power, solar energy, battery storage and energy efficiency solutions, both through new construction and through upgrading of existing assets to increase efficiency and energy production. The fund is open to professional investors with an investment horizon of more than 15 years and is a so-called Article 9 fund with sustainable investments as its objective. SEB Nordic Energy | SEB (sebgroup.com)

Locus Energy is a long-term owner and developer of renewable energy in the Nordic region. The company is owned by the Article 9 fund SEB Nordic Energy and invests capital from the fund. The portfolio consists of small-scale hydropower, wind power and battery storage, with a focus on acquiring and developing existing facilities. The business concept is to modernize and upgrade these facilities to increase the production of local, sustainable energy and meet future environmental requirements. Locus Energy | www.locus.energy

Varberg Energi At Varberg Energi, we focus on renewable energy and energy balancing. With creativity and commitment, together with our employees, we generate energy and innovative solutions for our customers. Long-term perspective and quality shape our ambition to invest in our own wind, solar, and battery parks as well as new smart energy services. Thanks to all these efforts, we optimize our contribution to sustainable societal development. Learn more about us at www.varbergenergi.se.

For further information, please contact:
Niklas Sörensen, CEO , Locus Energy, niklas@locus.energy +46 70 268 97 35
Richard Gavel, Head of Real Estate & Infrastructure Funds, SEB Nordic Energy, richard.gavel@seb.se + 46 70 772 32 53