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New Fortress To Acquire Hygo Energy, Golar LNG In Combined $5 Bln Deal - Quick Facts

Energy infrastructure firm New Fortress Energy Inc. (NFE) announced Wednesday that it has entered into definitive agreements to acquire Hygo Energy Transition Ltd. in a cash a stock transaction valued at $5.28 billion.

The consideration will comprise 31.4 million shares of New Fortress Energy Class A common stock and $580 million in cash.

Hygo Energy is a 50-50 joint venture between Golar LNG Limited (GLNG) and Stonepeak Infrastructure Fund II Cayman (G) Ltd., a fund managed by Stonepeak Infrastructure Partners, and Golar LNG Partners, LP (GMLP).

Pursuant to the transaction, Golar LNG will receive 18.6 million shares of New Fortress Energy Class A common stock and $50 million in cash and Stonepeak will receive 12.7 million shares of New Fortress Energy Class A common stock and $530 million in cash.

The addition of Hygo will quickly expand New Fortress Energy's footprint in South America with three gas-to-power projects in Brazil's large and fast-growing market.

With the acquisition of Hygo, New Fortress Energy will acquire an operating floating storage and regasification unit (FSRU) terminal and a 50% interest in a 1500MW power plant in Sergipe, Brazil as well as two other FSRU terminals with 1200MW of power in advanced stages in Brazil.

The closing of the transaction is subject to the receipt of certain regulatory approvals and third party consents and other customary closing conditions, and is expected to occur in the first half of 2021.

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