Solar project developer Eco Energy World (EEW) plans to list on the Nasdaq via a business combination agreement with special purpose acquisition company (SPAC) ClimateRock.
Under the terms of the proposed deal, a newly formed entity called Pubco will acquire both EEW and ClimateRock and will become a publicly traded entity. The transaction values EEW at an equity value of US$650 million.
In connection with the business combination, EEW’s shareholders will receive shares of Pubco in exchange for EEW shares and are expected to hold 80 – 85% of Pubco’s outstanding shares.
Svante Kumlin, EEW’s CEO and founder, is expected to lead Pubco. He said the transaction will allow EEW to expand its project development pipeline and enter new markets.
EEW is focused on the non-subsidised solar PV market, developing projects until they are at or near ready-to-build status, at which point it seeks buyers for the installations.
Having developed approximately 1.5GW of solar across mainland Europe, the UK and Australia, the company now expects to sell 2GW of plants over the next three years.
EEW revealed plans last year to build a 200MW hydrogen facility co-located with a 100MW energy storage system and a 300MW solar PV asset in the Australian state of Queensland.
The developer entered the US solar market earlier this year as it looks to capitalise on President Joe Biden’s climate agenda.