KKR To Buy EDF's Select North American Business; Plans $1.3 Bln Korean Energy Platform With SK

PARIS (dpa-AFX) - Investment firm KKR & Co. Inc. (KKR) late Tuesday announced its agreement to acquire EDF power solutions' North American renewable operations from EDF group SA (EDFEF.PK) for around $4.2 billion, with potential additional payments of up to $0.39 billion.Separately, KKR announced t…

Separately, KKR announced the signing of definitive agreements with South Korea's SK Inc. (03473K.KS), under which their funds will launch Korea's largest renewable energy platform valued at 2 trillion Korean won or around $1.3 billion.

Regarding the EDF deal, KKR said it will buy the operations and assets of US-based EDF power solutions Inc. and EDF power solutions Canada Inc. from the power producer.

The transaction is subject to customary closing conditions and regulatory approvals.

EDF power solutions North America offers clean energy solutions across the U.S. and Canada. The company owns and operates a diversified portfolio of solar, wind, and battery storage assets across multiple geographies.

KKR noted that following the deal, EDF power solutions North America will have the resources and strategic support to expand its asset base, enhance operational performance, and accelerate its development pipeline.

Further, KKR and SK plan to bring together renewable energy assets previously held by SK affiliates spanning solar, onshore and offshore wind, and fuel cells into a single, integrated platform, tapping into each company's respective operational experience and renewables investment expertise.

The Platform is expected to be Korea's largest renewable energy business, with around 1.7GW of capacity currently in operation and a development pipeline that will bring the total capacity to 10GW.

SK plans to use the launch of the Platform to strengthen the foundation and support the growth of its renewable energy business.

In the overnight trading, KKR shares were losing around 0.11 percent, trading at $91.68, after closing Tueday's regular trading 3.2 percent higher.

In South Korea, SK shares were trading at 456,500.00 won, down 1.83%.