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Italian energy company Enel has completed the sale of its 56.43% stake in PJSC Enel Russia to PJSC Lukoil and the Gazprombank-Frezia mutual investment fund for around €137m ($132.7m).
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In June, Enel announced it had signed two separate agreements for the sale with the respective buyers.
The deal was completed after all its closing conditions were met, including its approval by the Russian Federation president in line with Decree 520 of 5 August this year.
Following this transaction, Enel has sold all its Russian power generation assets.
These Russian assets included around 5.6GW of conventional capacity and around 300MW of wind capacity in different phases of development.
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By GlobalDataThe deal is in line with Enel’s strategic aim to focus mainly on countries where it could boost its growth because of an ‘integrated position along the value chain’.
It has had a positive impact of around €610m on Enel’s consolidated net debt, as well as a negative effect of around €1.3bn on the group’s reported net income.
The negative impact on net income was primarily due to the release of a currency translation reserve of around €1bn as of 30 September.
Despite this, the accounting impact is not expected to have any impact on the company’s ordinary economic outcome.
Based in Rome, Enel currently operates in 30 countries and has around 92GW of operational capacity.
The company’s Grids business delivers electricity through a network of around 2.3 million kilometres to more than 75 million end users.
In July this year, Enel agreed to sell its 99.09% stake in Enel Transmisión Chile to Sociedad Transmisora Metropolitana and its controlling company, Inversiones Grupo Saesa.
The deal will be carried out as a full takeover bid once it has been approved by Chile’s antitrust authority, Fiscalía Nacional Económica.
