Horizon Acquisition acquiring emergency power supplier APR Energy for $855 mn

Horizon Acquisition Plc, a buyout vehicle set up by British financier Hugh Osmond is acquiring US-based provider of emergency power generator APR Energy, in a cash and stock deal valued at about $855 million.

Once completed, Horizon, which was listed on the London Stock Exchange last year, will take a 60-per cent stake in Jacksonville, Florida-based APR Energy, while APR chief executive John Campion and his management team will hold 10 per cent and hedge fund manager George Soros and former US Secretary of State Madeleine Albright will own the remaining 30 per cent.

Under the deal, Horizon will pay around $359 million in cash and $495 million worth of its own share. It will have about $275 million of cash left over after the deal, which Horizon said will be channelled to accelerate APR's growth.

APR Energy, which was formerly known as ALSTOM Power Rentals and changed its name to APR Energy in July 2008, offers power generation equipment, such as dual fuel gas turbines, LV and HV electrical systems, and mechanical and electrical infrastructure as well as electrical, control, and metering equipment.

It also provides operation and maintenance services, such as manpower and spare parts required to operate their power plants.

It main customers are US government agencies as well as developing-world countries like Ecuador, Peru, Argentina, Botswana, Burkina Faso, Costa Rica and Haiti, among others and regions suffering temporary electricity shortages such as the tsunami-hit region of Japan.

''The re-examination of the future of nuclear power in many countries following the Japanese crisis is likely to increase further the worldwide requirement for temporary power solutions,'' Horizon said.