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Raiffeisen Investment advised Statkraft on entering the Turkish hydro power market

Raiffeisen Investment confirms its position as leading advisory house in the Emerging Europe Energy market as well as in the Turkish M&A environment. Statkraft A.S., the largest Norwegian power company, and Global Yatirim Holding, a publicly quoted Turkish holding company have closed a transaction pursuant to which Global sells 95% of its shares in its wholly owned subsidiary Yesil Enerji A.S. which holds controlling interests in seven hydroelectric plants throughout Turkey with a combined generation capacity of 633 MW, to Statkraft.

Global Yatirim Holding (GYH), who is the 100% owner of Yesil Enerji AS, started to look for a majority partner for its hydro power generation portfolio (633 MW of hydro power capacity in different stages of development) in summer 2008.

After a competitive three-stage auction process involving major European utilities, Statkraft was selected as the preferred partner to enter into negotiations. After several negotiations in Oslo and Istanbul, a final agreement was reached which led to the signing of the transaction on 19th March 2009. The transaction closed in June 2009.

Raiffeisen Investment’s role:

· M&A advisory services to Statkraft

· Successful deal structuring which led to a 95% stake sale instead of an initially planned 50/50 deal together with a buy-out of other shareholders at project level

· Structuring of complex earn-out structure and incentivised performance scheme for the seller

· Valuation support, market intelligence & knowledge of bidders environment

· Dedicated M&A execution ensured a smooth and fast path to signing

Raiffeisen Investment’s excellent access to shareholders and other stakeholders in Turkey ensured optimal promotion of Statkraft within the sector and country. This transaction confirms Raiffeisen Investment’s excellent reputation in the Turkish M&A market as well as in the CEE and CSEE Energy sector.

Next to advising the Turkish State on the privatisation of electricity distribution companies, Raiffeisen Investment is engaged in several M&A projects in the Energy sector in Turkey and CSEE. The local M&A office in Istanbul, which has been recently expanded, has established itself as one of the leading Corporate Finance houses in the country.