VERBUND and Bavarian Innkraft Agree on Participation


Following lengthy and intensive preparations and negotiations with Austrian VERBUND, the 17 shareholders of Innkraft Bayern GmbH & Co. KG finally agreed to acquire a 3.4% interest in the Inn power plants held by Austrian electricity company VERBUND.

At their shareholder meeting, held on June 15, 2010, the 17 shareholders of the Bavarian investment company "Innkraft Bayern GmbH & Co. KG" agreed to raise the funds for the acquisition of a 3.4% interest in VERBUND-Innkraftwerke GmbH by launching a capital increase.
The leading Austrian electricity company VERBUND had taken over the power plants from E.ON in June 2009.

Due to the initiative of the District Administrator of Altötting, Erwin Schneider, Bavarian municipalities, public services and companies were given the option to participate in the power plants. After that, 17 shareholders teamed up at Innkraft Bayern GmbH & Co. KG who believe in the future of hydropower.

The shareholders regard the power plants as a long-term and solid investment and Austrian VERBUND, one of the largest producers of electricity from hydropower, as a strong partner with outstanding experience in the operation of hydropower plants.

Innkraft Bayern is convinced in the value of operating and managing the power plants according to the principles of sustainability. The shareholders aim at preserving and strengthening renewable energy production from hydropower.

On June 28, 2010, VERBUND representatives Karl Gollegger and Wolfgang Michler, the managing directors of Innkraft Bayern GmbH & Co. KG, Ulla Stadler and Beate Ganghofner, as well as District Administrator Erwin Schneider signed the share sale agreement.

The parties to the contract agreed to keep the purchase price confidential.

From July 1, 2010 the Inn power plants are thus partially back under Bavarian ownership. From this point onward, the investment company will be represented by Supervisory Board Member of VERBUND-Innkraftwerke GmbH, Robert Haimerl, and Managing Director of Innkraft Bayern, Jörg Schmitt.

Innkraft Bayern and its shareholders would welcome any further shareholders from the circle of Bavarian municipalities or companies who wish to participate in the investment.

The shareholders of Innkraft Bayern would like to take this opportunity to express their thanks to the initiator of the company, District Administrator Schneider and his employees.