OX2 to acquire solar & storage developer ESCO Pacific

April 3, 2023

OX2 is to acquire Australian solar and energy storage developer ESCO Pacific for A$126 million. 

ESCO Pacific’s project development portfolio consists of 1,220 MW solar and 200 MW energy storage. OX2 said the split between “late/mid/early in the portfolio” is 317 MW / 395 MW / 708 MW. 

In addition, the company has a number of “pre-early projects” that are expected to be included in the project development portfolio during 2023, a statement said.

Supplementary to the agreed purchase price of A$126 million on a debt free basis, there is a contingent consideration amounting to up to A$17 million to the founder based on sales and margins in 2025-2027 from the acquired project development portfolio.

OX2 said it had identified “considerable potential for value creation in ESCO Pacific through extension of the product offering from sale of project rights to the sale of turnkey solutions at construction start”.

OX2 plans to scale up operations through acquisitions in solar and energy storage and is also exploring expansion into onshore wind, offshore wind and hydrogen.