Privatization of DEWI GmbH German Wind Energy Institute: KPMG Law advises the State of Lower Saxony

KPMG Rechtsanwaltsgesellschaft mbH (KPMG Law) advised the State of Lower Saxony on the sale of DEWI GmbH – Deutsches Windenergieinstitut based in Wilhelmshaven. It was sold to UL International Germany GmbH, based in Neu-Isenburg. It is a German subsidiary of the certification company Underwriters Laboratories Inc. based in Northbrook, Illinois, USA.

For more than 20 years, DEWI GmbH – German Wind Energy Institute has been conducting research in the field of wind energy and has become one of the leading international consulting companies in the field. UL International Germany GmbH was awarded the contract with a purchase price offer of €19.33 million in a Europe-wide tender process launched in spring 2011.

The state parliament in Hanover approved the plans on May 8, 2012. The transaction was notified to the German Federal Cartel Office immediately afterwards. The sale of the shares includes DEWI GmbH – Deutsches Windenergieinstitut and its majority shareholding in DEWI-OCC Offshore and Certification Centre GmbH, based in Cuxhaven.

A key challenge of the mandate was to structure the bidding process for the sale of the shareholding in accordance with European law, i.e. in particular in compliance with state aid law. KPMG Law provided extensive support to the State of Lower Saxony throughout the bidding process, from the preparation of the Europe-wide tender to the award of the contract and the notification of the transaction to the German Federal Cartel Office.

The consulting during the procedure included in particular the following points: Design of the information memorandum, compilation of the data room, support of the State of Lower Saxony in the due diligence phase with several bidders, drafting and negotiation of the share purchase agreement with in the end two bidders as well as the organization of the management presentations and the site visits.