Drax Group plc

Drax Group plc in its acquisition of Pinnacle Renewable Energy


Drax Group plc


$741 million


Mergers and Acquisitions

Date Closed

April 2021


Power and Utilities

Lead Office



On April 13, 2021, Drax Group plc completed its all-cash acquisition of all of the issued and outstanding shares of Pinnacle Renewable Energy Inc. at a price of $11.30 per share (representing a premium of 13% based on the closing market price as at February 5, 2020 of $10.04 per share and valuing the fully diluted equity of Pinnacle at $385 million with an implied enterprise value of $741 million, including $356 million of net debt).

The acquisition of Pinnacle, a major international producer and supplier of sustainable biomass, will position Drax as the world’s leading sustainable biomass generation and supply business.

Drax is a leading supplier of renewable energy solutions to industrial and business customers.

Pinnacle is the second largest producer of industrial wood pellets in the world. 

Osler, Hoskin & Harcourt LLP, working together with Slaughter and May, advised Drax with a team consisting of Manny Pressman, Alex Gorka, Brett Anderson, Jesany Killam-Michel and Bradley Lastman (Corporate), Paula Olexiuk, Aqeel Virk and Storme McKop (Commercial), Firoz Ahmed and Masoud Tasharofi (Tax), Michelle Lally, Christopher Naudie and Gajan Sathananthan (Regulatory), Damian Rigolo and Shari Cohen (Employment), Ryan Nielsen and Sarah Sharp (Real Estate), Jonathan Marin (Pensions) and Patrick Welsh (Environmental).