Aker Solutions — M&A Activity 2022

Mar 30, 2022

Aker Solutions Acquires Norwegian Hydropower Company Rainpower to Strengthen Renewables Portfolio

Aker Solutions Acquires Norwegian Hydropower Company Rainpower to Strengthen Renewables Portfolio

March 30, 2022 - Aker Solutions has agreed to acquire Rainpower Holding AS

("Rainpower"), a leading technology provider to the hydropower industry. The

acquisition builds on Aker Solutions' growth strategy and will further

strengthen its offering within renewables. Aker Solutions sees strong industrial

synergies in further developing Rainpower into an innovative hydropower

technology company to optimize hydropower developments and operations.

Rainpower develops, produces and delivers hydropower turbines, control systems

and associated equipment for clients and projects worldwide. The company

supplies equipment for new installations and performs upgrades of existing

hydropower plants. Rainpower has more than 165 years of history dating back to

1853 when the Norwegian hydropower competence was developed by Kvaerner. The

company has been involved in some of the world's largest projects within

hydropower development, including the Three Gorges Dam in China.

"The world needs to take significant steps to reduce carbon emissions, and this

will unlock large investments across multiple industries. Combined with the

increasing demand for power market flexibility, energy security and energy

storage solutions, renewable hydropower has a key role to play. This acquisition

will complement Aker Solutions' existing renewables portfolio and contribute to

further accelerating our strategy and transformation journey," said Kjetel

Digre, chief executive officer of Aker Solutions.

Aker Solutions has agreed to acquire 100 percent of the shares in Rainpower from

a subsidiary of Aker Horizons, which announced an acquisition of Rainpower in

January 2021. Aker Solutions and Rainpower have collaborated on both technical

and strategic topics over the past year. Through this collaboration it has

become apparent that Aker Solutions has complimentary capabilities with

Rainpower, and is well positioned to realize the potential of the hydropower

technology company.

"There is a growing market for upgrading the existing installed base of

hydropower to reflect the needs of the renewable power markets moving forward.

Hydropower plays a crucial role in the transition to a fully renewable energy

system, providing necessary system flexibility and stability to support

increased and faster electrification of assets. We look forward to continuing

the journey as part of Aker Solutions," said Hege Brende, chief executive

officer of Rainpower.

"This acquisition has strong industrial rationale and will drive further growth

in Aker Solutions' renewables offering. We will combine Rainpower's hydropower

portfolio and experience with Aker Solutions' system engineering and project

management expertise. Our power and controls systems competence combined with

Rainpower's technologies will enable us to offer complete digital electro

-mechanical deliveries within hydropower. We will also benefit from Aker

Solutions' strong manufacturing capabilities," said Digre.

The transaction is expected to be completed during the second quarter of 2022.

The purchase price is about NOK 100 million, with an additional discretionary

element which may bring the purchase price to NOK 150 million. A third-party

valuation report has been obtained and the transaction remains subject to

various closing conditions, including certain third-party approvals.

ENDS

Media Contact:

Torbjørn Andersen, mob: +47 928 85 542, email:

torbjorn.andersen@akersolutions.com

Investor Contact:

Fredrik Berge, mob: +47 450 32 090, email: fredrik.berge@akersolutions.com

Rainpower is currently headquartered in Lillestrøm outside Oslo, Norway, and has

offices in Norway, Sweden and China. The company employs about 200 highly

skilled employees and offers proprietary technologies for integrated products

and services to the hydropower industry worldwide. It has a strong reputation in

delivering state-of-the-art technology for the hydropower industry. Rainpower

has delivered turbines, control systems and equipment to most of the Norwegian

hydropower plants.

Rainpower's revenues in 2021 was NOK 345 million, and the order backlog was NOK

361 million as of December 31, 2021. The company will continue to operate under

its existing brand. For further information about Rainpower, please visit

www.rainpower.eu

Aker Solutions delivers integrated solutions, products and services to the

global energy industry. We enable low-carbon oil and gas production and develop

renewable solutions to meet future energy needs. By combining innovative digital

solutions and predictable project execution we accelerate the transition to

sustainable energy production. Aker Solutions employs approximately 15,000

people in more than 20 countries.

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