Cairo – Mubasher: Vortex Energy, a renewable energy platform managed by the private equity arm of EFG Hermes, has signed a definitive agreement with Ignis Energy Holdings, the owner of Spanish independent integrated renewable firm Ignis Group.

Vortex Energy will pump over EUR 625 million through its newly launched Vortex Energy IV Fund and its co-investors into Ignis Energy through several capital injections, which will take place over the next few years subject to certain conditions, EFG Hermes said in a bourse disclosure on Monday. 

The capital contribution will enable Ignis Energy to fund its growth plans and transform into a fully integrated renewable IPP in Spain and other geographies and will enable it to own and operate an increasing share of the projects that it develops. 

The transaction is subject to Spanish regulatory approval and certain conditions precedents.

Santander and Royal Bank of Canada acted as financial advisors for Vortex Energy on the deal, while Watson Farley Williams acted as a legal advisor. As for Ignis, Citi and Cuatrecasas were the financial and legal advisors, respectively. 

During the first half (H1) of 2021, EFG Hermes posted consolidated net profits of EGP 754.95 million, up from EGP 422.97 million In H1-20, including minority shareholders' rights.