Greece’s Public Power Corporation (PCC) acquired all of Enel’s equity interests in Romania, for a total of 1,260 million euros.
The closing of the acquisition is expected to occur by the third quarter of 2023 and will be subject to certain conditions precedent customary for this kind of transaction, including, among others, clearance from the relevant antitrust authorities.
“This acquisition is fully consistent with what we have presented in our November 2021 strategic plan, which assumed international expansion in the Southeastern Europe area and activities of Enel in Romania are a perfect fit in this regard in terms of both geography and business,” said Georgios Stassis, Chairman and CEO of PPC. “This is a unique chance to acquire an integrated utility platform at an attractive valuation, setting PPC on the path to becoming a leading clean utility player in the South-East Europe area.”
Indeed, the transaction represents a transformational event for PPC’s growth strategy with the acquisition of a significant renewables portfolio (both operation and pipeline), leading electricity distribution and supply business, as well as PPC’s first material expansion into a new country.
The Enel Group has been a leading energy player in Romania since 2005, operating in power distribution and supply, as well as renewable energy, with over 500 megawatts (MW) managed by Enel Green Power Romania and advanced energy services. The Group’s Romanian distribution companies operate in three key areas of the country, namely Muntenia Sud (including Bucharest), Banat and Dobrogea, serving a total of over 3 million customers.
“With the sale of all our activities in Romania, we continue to implement the disposal plan that was announced during the presentation of Enel’s 2023-2025 Strategic Plan,” said Enel Group CEO and General Manager Francesco Starace. “We are proud of the results achieved in Romania since we entered the country in 2005 and we recognise the hard work and dedication of our colleagues, who enabled us to become one of Romania’s main integrated energy operators. We are confident that a leading international player such as PPC will continue this success story.”