High level of M&A activity in the next 12 months, according to report published by mergermarket, in association with Roedl & Partner.


The renewable energy space is expected to see a high level of M&A activity in the next 12 months, according to the second annual report release of M&A in Renewables: Global Outlook, published by mergermarket, in association with Roedl & Partner.

In a survey conducted in Q2 2011 of 100 senior M&A practitioners involved in the renewable energy sector, 72% expect an increase in renewable energy M&A activity. This bullish sentiment could be attributed to a number of factors, including the devastating effects of the Fukushima disaster.

67% of respondents expect Europe to be at the forefront of this increase, forecasting that the region will see significant activity.

The renewable sector globally has seen 51 deals at a total value of € 10.6bn this year-to-date.

Additional findings in the report include:

  • Respondents are split with regards to what impact the revolutions in North Africa will have on the renewable energy sector, with 44% believing that it will have an impact and 41% believing that it will not. A small percentage of respondents remain uncertain;
  • More than two-thirds of respondents (67%) say that emerging markets are very important in the context of M&A activity in the renewable energy space;
  • The wind power and solar thermal niches are expected to see bustling M&A over next year, while biomass gains greater prominence;
  • Respondents deem SPVs as an ever more attractive option for acquisitions, while interest in classical share deals wanes;
  • Nearly three-quarters of the survey pool (72%) believe government support will be a very significant external driver of M&A activity in the renewable energy sector over the coming year;
  • Nearly one-third of respondents (31%) believe feed-in tariffs constitute the most effective government policy for driving investment in the renewable energy sector.

Please click here to view the full M&A in Renewables: Global Outlook report.

We hope you enjoy reading M&A in Renewables: Global Outlook.

Source: Mergermarket

Announcement from our Chairman, David C BarclayThe World Renewable Energy Association are delighted to announce the launch of a brand-new initiative exclusively for its members. The Renewable Energy Finance Hub has been launched following the largest survey undertaken with UK businesses conducted by WoREA in conjunction with the UK Government and its partners. Reduce your businesses carbon footprint today and begin your journey towards net zero!