SN Power

SN Power, established in 2002 as Statkraft Norfund Power Invest AS, was a strategic partnership between Statkraft and Norfund, the Norwegian Investment Fund for Developing Countries. The firm was founded to leverage Norwegian hydropower expertise for commercial investments in clean, renewable energy within emerging markets, aiming to foster economic growth and sustainable development. The business model centered on acquiring, developing, constructing, and operating hydropower assets as an independent power producer (IPP). Geographically, the company focused its operations in Southeast Asia, Africa, and Central America, establishing a portfolio of power plants in countries including the Philippines, Laos, Uganda, Zambia, and Panama.

The company's ownership structure underwent significant changes over its history. Initially a 50/50 joint venture, a 2017 agreement resulted in Norfund acquiring Statkraft's 50% share, making Norfund the sole owner. This transaction consolidated Norfund's presence in Africa and Southeast Asia through SN Power. In October 2020, Norfund initiated and agreed to the sale of SN Power to Scatec, a Norwegian renewable energy developer, for an equity value of USD 1.166 billion. This acquisition, completed in January 2021, was a key step in Scatec's strategy to broaden its technological and geographical reach, integrating hydropower with its existing solar operations and expanding into wind and energy storage. As part of the deal, all of SN Power's employees and its Asian assets were incorporated into Scatec. A joint venture was also formed for the Sub-Saharan Africa assets, with Scatec holding a 51% operating stake and Norfund retaining 49%. Norfund kept direct ownership of the facilities in Zambia and Panama.

Prior to its acquisition, SN Power had built a substantial portfolio with a gross capacity of 1.4 GW across its assets in the Philippines, Laos, and Uganda, and was developing a further project pipeline of 2.5 GW. The sale was a strategic move for Norfund, yielding an estimated 18% annual return in NOK and allowing it to recycle capital into new sustainable development projects. For Scatec, the acquisition added significant operational cash flow and a large project pipeline, creating a combined entity with 3.3 GW of capacity in operation or under construction across 14 countries. Keywords: hydropower, renewable energy, emerging markets, independent power producer, project development, asset operation, Norfund, Statkraft, Scatec, energy investment, sustainable development, clean energy, Southeast Asia, Sub-Saharan Africa, Central America, power generation, infrastructure fund, energy acquisition, utility-scale power, international energy