Italy’s ERG sells gas, hydro plant to Enel in 188 mln euro deal

Industry:    2022-02-10

Italy’s ERG has agreed to sell a 480-megawatt gas-fired power plant in southern Italy to utility Enel to complete its transformation into a pure wind and solar company.

The sale of ERG Power, which also includes a hydroelectric plant, values the unit at 188 million euros ($215 million) including debt, ERG said on Wednesday.

Proceeds from the sale, which is subject to a price adjustment at closing, will be used to fund growth at the company that generates some 60% of earnings from wind power.

Rothschild and Mediobanca were advisors.

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