EUR2.2bn 1.7 GW hydroelectric portfolio acquired in Portugal

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
EUR2.2bn 1.7 GW hydroelectric portfolio acquired in Portugal

ENGIE, together with its consortium partners Crédit Agricole Assurances and Mirova, an affiliate of Natixis Investment Managers, has won a competitive process conducted by EDP for the acquisition of Portugal’s second largest hydroelectric portfolio, for an enterprise value and consideration of EUR2.2 billion (US$2.4 billion).

The hydroelectric portfolio has a generation capacity of 1.7 GW with a weighted average remaining concession term of 45 years, and includes three newly commissioned pump storage units along with three recently repowered run-of-river plants.

ENGIE, as the industrial partner for the consortium, will operate and maintain the hydroelectric portfolio and also provide energy management services.

ENGIE owns 40% of the consortium, while Crédit Agricole Assurances and Mirova, through managed funds, own 35% and 25%, respectively. A net debt impact of approximately EUR650 million (US$719.6 million) is anticipated for ENGIE.

ENGIE will not consolidate the investment. The closing of the transaction is expected during the second half of 2020.

Isabelle Kocher, CEO of ENGIE, said “Our increased focus on providing clients with 100% renewable power tailored to their needs will enable ENGIE to be the leader of the zero carbon transition. This transaction accelerates the implementation of ENGIE’s strategy. Our target to add 9 GW renewables over the period 2019 – 2021 is confirmed and this acquisition comes on top of it.”

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.