Enel Green Power España (EGPE) has signed an agreement with Portuguese company First State Wind Energy Investments to sell all of its share capital of Finerge Gestão de Projectos Energéticos (Finerge) for €900m ($1bn).
Finerge is a wholly owned EGPE subsidiary operating across the Portuguese renewable sector, chiefly engaged in the development, construction and operation of wind farms in the country. EGPE is the Spanish subsidiary of Italian firm Enel Green Power (EGP).
Besides having 126MW of installed capacity as a part of its portfolio, Finerge also has minority stakes for 292MW.
The transaction, once completed, will mark EGP’s exit from the Portuguese renewable energy sector, which is a part of the firm’s strategy to streamline its assets and leverage those with greater development potential.
It is in line with EGP’s 2015-2019 business plan, which will see an investment of €9.6bn to increase its portfolio.
Enel Green Power CEO Francesco Venturini said: "There is strong demand for renewable assets, and by selling an operational platform in a mature market, we register an early success in delivering against the commitments we made to the market earlier this year."
Finerge also owns a 35.96% interest in Eólicas de Portugal (Eneop), which has operating wind farms totalling 1,333MW under its portfolio.
The transaction will mean Finerge is the sole owner of four special purpose companies, operating 445MW worth of wind projects. Once completed, the entity will own wind farms in Portugal with a total installed capacity of 863MW.
EGP expects to gain around €30m from the divestment.
The sale is expected to be completed by the fourth quarter of this year, and is subject to conclusion of the separation of Eneop’s assets.
Image: Enel Green Power expects to gain €30m from the divestment of the wind assets. Photo: courtesy of Enel Green Power S.p.A.