Höegh Evi: Morgan Stanley Sells 50% Stake to Igneo
Deal News | Dec 13, 2024 | Morgan Stanley (MSCP)
Morgan Stanley Infrastructure Partners (MSIP), an arm of Morgan Stanley Investment Management, has agreed to sell its 50% stake in Larus Holding Limited, the complete owner of Höegh Evi Ltd., to funds managed by Igneo Infrastructure Partners. Meanwhile, Aequitas Limited, indirectly controlled by the Leif O. Höegh family, retains its 50% ownership stake. Höegh Evi has a strategic focus on transitioning to clean energy infrastructure. Positioned as a global leader in Floating Storage and Regasification Units (FSRUs) and Liquid Natural Gas Carriers (LNGCs), the company is set to advance into carbon capture and storage, ammonia, and hydrogen segments, with plans to deploy the first hybrid FSRUs by 2028. Previously known as Höegh LNG, the company rebranded to Höegh Evi in recognition of its expanding role in energy transition. MSIP had delisted the company from the Oslo Stock Exchange in May 2021, and took private the subsidiary Höegh LNG Partners from the NYSE in September 2022. The Höegh Family, a renowned player in the international shipping industry, partners in this joint venture. The transaction highlights MSIP's strategy of collaborating with family shareholders to realize significant investment value.
Sectors
- Infrastructure
- Energy
- Private Equity
Geography
- United States – Morgan Stanley, a U.S.-based investment firm, is involved in the transaction through its Infrastructure Partners division.
- Norway – The Höegh family, who continue to control 50% of Höegh Evi, hail from Norway and have historical ties to its shipping industry, reflecting part of the article's geographical context.
Industry
- Infrastructure – The article focuses on the sale of Höegh Evi, a company within the infrastructure sector, specifically specializing in energy-related infrastructure including Floating Storage and Regasification Units (FSRUs).
- Energy – Höegh Evi is involved in the energy sector, focusing on FSRUs and LNGCs, reflecting its operations in the global energy markets as it transitions towards clean energy solutions.
- Private Equity – Morgan Stanley Infrastructure Partners, a private equity entity, is divesting its stake in Höegh Evi, illustrating actions within the private equity sector.
Financials
- 50% – The ownership stake in Larus Holding Limited (owner of Höegh Evi Ltd.) that Morgan Stanley Infrastructure Partners is selling to Igneo Infrastructure Partners.
- $17 billion – The assets under management by Morgan Stanley Infrastructure Partners.
- $1.6 trillion – Total assets under management or supervision by Morgan Stanley Investment Management as of September 30, 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Morgan Stanley Infrastructure Partners | Selling Company | Company | A private infrastructure investment platform under Morgan Stanley Investment Management, involved in the divestment of Höegh Evi. |
| Höegh Evi Ltd. | Target Company | Company | A leading company in the floating energy infrastructure sector, specializing in FSRUs and LNGCs, with a strategic focus on clean energy transitions. |
| Igneo Infrastructure Partners | Buying Company | Company | The investment firm acquiring Morgan Stanley's 50% stake in Höegh Evi. |
| Aequitas Limited | Other | Company | Controlled by the Höegh family, retaining their 50% stake in Höegh Evi. |
| Leif O. Höegh and Family | Other | People | The indirect controllers of Aequitas Limited, retaining part ownership of Höegh Evi. |
| Alberto Donzelli | Other | People | Managing Director and Co-Head of Europe for Morgan Stanley Infrastructure Partners, providing insight on the company's activities. |
| Markus Hottenrott | Other | People | Chief Investment Officer for Morgan Stanley Infrastructure Partners, commented on the strategic partnership with family shareholders. |