Osborne Clarke advises Nofar Energy on the sale of a stake in large scale battery storage project in Stendal

Osborne Clarke has advised Nofar Energy on the sale of a stake in a large‑scale battery energy storage system (BESS) in Stendal (Saxony-Anhalt). The purchaser is EB – Sustainable Investment Management GmbH (EB-SIM), a subsidiary of Evangelische Bank. The project, with an output of 104.5 MW and a storage capacity of 209 MWh, is currently under construction, with commissioning (COD) scheduled for 2026. The transaction was signed and completed in December 2025.

Nofar Energy is a global market leader in renewable energy solutions and develops, builds and operates solar and storage projects in Europe, Israel and the USA. By divesting a stake in the large‑scale battery storage facility in Stendal, Nofar Energy is optimising capital allocation within its international portfolio while maintaining its strategic focus on large‑scale, grid‑relevant storage projects.

The BESS in Stendal is designed as a grid‑connected large‑scale storage system, intended in particular to support system services, congestion management and the integration of fluctuating feed‑in from wind and solar energy. Thanks to its output of 104.5 MW and a storage duration of around two hours, the storage facility can provide flexible capacity at short notice, contribute to grid stabilisation and capture marketing opportunities on balancing power and spot markets.

The stake sold enables the new partner to participate in a project that is already at an advanced stage of development and under construction. At the same time, the project benefits from the combination of local implementation on the ground and Nofar Energy’s international experience in building and operating large‑volume storage portfolios. The transaction structure takes into account both regulatory and energy‑industry framework conditions and banking requirements for BESS investments in Germany.

“The transaction demonstrates how large‑scale battery storage systems have established themselves as a standalone asset class in the M&A market,” says Dr Christoph Torwegge, Partner at Osborne Clarke. “The structuring work addressed not only classic M&A issues, but also complex questions relating to regulatory framework conditions, grid connection and marketing – a blueprint for further BESS deals in the German market.”

The Osborne Clarke team advising Nofar Energy, led by Dr Christoph Torwegge (Partner responsibility) and Felix Jaeger, comprised Ann‑Kristin Lochmann, Julian S. Tristram, Theresa Viegener, Alexandra Abeln, Sarah Theresa Mentner, Anastasia Minich, Ole Folster and Rafael Teichmann (all Energy / M&A). Heinrich & Mortinger acted as financial advisor to Nofar Energy.

On the buyer side, EB-SIM was legally advised by Dentons.