Munich Re joined with General Electric Co. (GE:US) and Electricite de France SA to buy 32 wind farms in France from Iberdrola SA (IBE) as part of its plan to invest 2.5 billion euros ($3.3 billion) in renewable-energy assets.
The purchase of a total capacity of 321.4 megawatts is valued at 350 million euros, plus as much as 50 million euros depending on output in the next five years, the companies said in a joint statement. Munich Re’s investment arm MEAG Munich Ergo AssetManagement GmbH and GE Energy Financial Services will each own 40 percent, and EDF Energies Nouvelles 20 percent.
EDF Energies Nouvelles will provide asset management, while operating and maintaining the plants, which were commissioned from 2006 to 2012 and are connected to the power grid, they said. The companies plan to replace some of the farms’ 160 turbines with GE machines to improve efficiency and reliability.
The share of Munich Re, the world’s biggest reinsurer, is valued in “the low three-digit millions,” the company said in a separate e-mailed statement. Munich Re has realized a figure in the “high three-digit millions” of its renewables program, Josef Wild, a spokesman, said today by phone.
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