EDP Renováveis S.A. (“EDPR”) has announced that it has entered into an agreement with two entities sponsored by China Three Gorges – ACE Investment Fund I LP and ACE Investment Fund II LP (“ACE Funds”) – to acquire 49% of their shares in EDPR’s wind portfolios in Portugal, Poland, and Italy, for a total amount of 0.57 billion euros.
ACE Funds acquired 49% of the shares from EDPR in 2016-2017. The portfolios have a total gross operational capacity of 970 MW (475 MW net) of wind energy, of which:
– Portugal: 422 MW with Feed in Tariff in force until 2030
– Poland: 418 MW under the Green Certificate system until 2027
– Italy: 130 MW with implemented Feed in Premium or CfD until 2033
The total transaction price represents a total enterprise value of 1.2 billion euros (estimated). This transaction has a strong strategic rationale, as EDPR will own 100% of the shares in projects with good operational results – providing immediate cash flow and profit growth. This also simplifies the ownership structure while increasing portfolio management flexibility and potential for hybridization and repowering.
EDP and EDPR maintain growth direction aligned with financial goals set in the 2023-2026 Business Plan.
This transaction is subject to verification against regulatory conditions and other customary conditions for transactions of this kind.
These information is disclosed in accordance with the terms and purposes of Art. 17 paragraph of the European Parliament and Council Regulation (EU) No 596/2014.
