Raen S.A., a company listed on the main market of the Warsaw Stock Exchange with a portfolio of 1.45 GW of photovoltaic projects, unveiled a new development strategy on May 22. Its main goal is to increase the number of projects under JDA contracts to 3 GW, develop its portfolio in the RES sector to 200 hectares and achieve 58 MW of its generation capacity in 2025. In a two-year horizon, Raen plans to achieve an EBITDA of nearly PLN 43 million and sales revenues of up to PLN 65.9 million.
Currently, the company has a broad portfolio of renewable energy products at various stages of development. The total capacity of projects under JDA agreements is 1.45 GW, and the pipeline capacity of brownfield projects exceeds 670 MW. The company expects to achieve an EBITDA of PLN 10.1 million and sales revenue of PLN 27.8 million in 2023, based on the agreements concluded in its development activities.
“Raen S.A. is a platform that connects the capital of foreign investors with projects that contribute to the production of “green energy” in Poland. We are proud to say that we have earned expert status in this area. Our greatest assets are a solid portfolio of photovoltaic projects worth 1.45 GW and the strong business relationships we have established through our international network. Our team has gained experience all over the world, including the United States, the United Kingdom and South Korea,” explains Adam Guz, CEO of Raen. “Today we have adopted a strategy that is based on a holistic view of the opportunities presented by the transformation of the Polish energy sector. Our goal is to achieve synergies in the renewable energy sector while building shareholder value.”
The announcement of the new strategy is a milestone for Raen S.A. towards dynamic growth. Its foundation is to be growing above the market average, while the goal is to achieve a stable revenue base thanks to the company’s energy capacity and to increase efficiency and margins while maintaining cost discipline. Management estimates that the implementation of this plan will translate into building shareholder value.
In its newly adopted strategy, the company sets out 6 main lines of action:
1. Owning its assets in the RES sector and becoming an independent power producer (IPP);
2. Management and sale of electricity under bilateral agreements (PPAs);
3. Investing in development, modernization and modern, green technologies;
4. Creating innovative solutions for investors;
5. Cooperation with key partners to ensure the company’s stable development;
6. Strengthening the company’s position as an attractive and solid investment for institutional investors.
The driving force behind the introduction of the new strategy was the recent acquisition of 100 percent of Seed Capital and with it a portfolio of photovoltaic projects that could reach an EBITDA of 15 million in 2024. In April, Adam Guz, who previously headed Seed Capital and was involved in the sale of projects with a total capacity of 300 MW over more than 20 years, took over as Raen’s CEO.
“Our mission is to boldly confront the challenges posed by climate change and improve air quality. We are accomplishing this by combining global capital, sourced mainly in France, Italy, Greece, Israel, Canada and the United States, with projects that will increase the production of “clean” energy in Poland. We are guided by the strategic goal of integrating the production and supply of renewable energy from both PPAs and our sources,” the CEO stressed.
As Adam Guz points out, Poland – which is a key market for the company – is currently facing the historic challenge of decarbonization, which requires reducing carbon emissions by 55 percent by 2030. Undertaking it entails a series of investments within the domestic energy sector for €226 billion. The implementation of these projects represents a historic opportunity to halt climate change, improve air quality and achieve Poland’s energy independence.
“As Raen, we see our place at the forefront of these changes, which is why investing in our company combines an attractive form of capital investment with building a sustainable future for the world and the next generations. We see the popularity of green energy sources growing as Poles become more aware of the dangers of climate change. We are particularly pleased to see growing interest among farmers in participating in the energy transition by leasing land for the construction of photovoltaic farms. I sincerely encourage owners of agricultural land, representatives of local governments and developers of photovoltaic projects to establish cooperation with Raen. Let’s build an energy-independent Poland together and be part of the green transition,” Guz concludes.
