EXECUTIVE SUMMARY

Qualitas Energy, a global investment and management platform, has agreed to acquire Cero Generation’s core European platform from Macquarie Group, adding a sizeable pipeline of battery energy storage system projects across the United Kingdom, Italy and Spain.

The transaction covers a 5.8 GW portfolio comprising BESS and solar PV projects. More than 2 GW of the combined portfolio is operating, under construction or ready to build, while another 3.8 GW remains under development. The disclosed transaction information does not provide a separate capacity figure exclusively for BESS assets.

For the battery storage sector, the acquisition gives Qualitas Energy access to an established development platform with projects across three of its core European markets. Cero Generation has developed in-house capabilities covering project development, construction and operations, providing a platform for advancing storage projects through multiple stages.

The acquisition also includes Cero Generation’s teams and offices in London, Milan and Madrid. These local capabilities can support the development and delivery of BESS projects in markets experiencing increasing requirements for grid flexibility as renewable electricity penetration grows.

Qualitas Energy is completing the acquisition through Qualitas Energy Fund VI. The transaction reflects the fund's platform-led investment strategy, under which established businesses and development capabilities can provide a foundation for further growth rather than investment being limited to individual energy assets.

Following completion, Cero Generation will continue operating under its existing brand as an independent portfolio company of Qualitas Energy. Its established market positions and development pipeline provide Qualitas Energy with a base for further expansion across battery storage and renewable energy infrastructure.

The BESS component is particularly relevant as European electricity systems require additional flexibility to manage variable renewable generation. Battery storage can provide services including energy shifting, balancing, frequency response and congestion management, depending on project configuration and market participation.

The transaction is expected to close in the coming months, subject to customary conditions. Nomura advised Qualitas Energy on M&A, Herbert Smith Freehills Kramer provided legal advice, DNV and Kiwa Moroni provided technical advice, and KPMG advised on financial, tax and labour matters.

Financial terms and the standalone BESS capacity within the 5.8 GW portfolio were not disclosed.