ENEL GROUP AND GE ENERGY FINANCIAL SERVICES TURN U.S. PARTNERSHIP EGPNA REP INTO JOINT VENTURE

Following the letter agreement signed in November 2016, EGPNA and GE Energy Financial Services signed and closed an agreement whereby EGPNA sold a 1% stake in  EGPNA REP to GE Energy Financial Services for about 10 million US dollars and created an equally owned joint venture by revising also their LLC agreement

 The Enel Group will continue to manage EGPNA REP assets, while deconsolidating its debt (approximately 500 million US dollars) and installed capacity, as part of Enel’s new less capital-intensive “Build, Sell and Operate” growth model

 


Rome, December 15th, 2016 – Enel S.p.A. (“Enel”), through its US-based renewables subsidiary Enel Green Power North America, Inc. (“EGPNA”), has signed and closed an agreement with GE unit (NYSE: GE) GE Energy Financial Services, under which EGPNA sold a 1% stake in EGPNA Renewable Energy Partners, LLC (“EGPNA REP”) to GE Energy Financial Services, for about 10 million US dollars. As a result of the transaction, EGPNA has reduced its stake in EGPNA REP to 50% from 51% and GE Energy Financial Services increased its stake to 50% from 49%. The two companies also revised their Limited Liability Company (LLC) agreement, converting EGPNA REP into an equally owned joint venture.
 
Francesco Venturini, Enel’s Head of Global Renewable Energies, stated: “This transaction reinforces the key pillars of Enel’s global growth strategy, while also strengthening our position in the North American market. Through the joint venture we’ve just created, the US has become the first country where we are carrying out our new industrial growth strategy driven by a less capital intensive ‘Build, Sell and Operate’ model, which will ultimately help us accelerate the development of our large global pipeline.”

The transaction was closed following a letter agreement signed in November 2016 between EGPNA and GE Energy Financial Services and the completion of all required regulatory approvals. The new corporate governance rules of the LLC agreement provide that EGPNA will continue to manage EGPNA REP assets. With the completion of the transaction, Enel deconsolidated EGPNA REP’s debt (approximately 500 million US dollars) and capacity.

EGPNA REP was launched in March 2015 to actively manage a part of the Group’s renewables portfolio in North America. Currently EGPNA REP’s assets include 46 wind, geothermal, hydropower and solar plants with around 1,200 MW of installed capacity.

Enel, through EGPNA, currently operates more than 2,500 MW of installed solar, wind, geothermal and hydropower capacity in the US and Canada, including the 1,200 MW of managed capacity through EGPNA REP. The company is present in 23 US states and two Canadian provinces.

 

All Enel press releases are also available in smartphone and tablet versions. You can download the Enel Corporate App at Apple Store and Google Play.
 

Microsoft Word - EGP NA REP JV Closing ENG

PDF (0.07MB) Download

For the dissemination to the public and the storage of regulated information made available to the public, Enel S.p.A. has decided to use respectively the platforms “eMarket SDIR” and “eMarket Storage”, both available at the address www.emarketstorage.com and managed by Spafid Connect S.p.A. with registered office in Milan, at Foro Buonaparte, 10. The aforementioned services are authorized by Consob (resolution No.19878 of February 15th, 2017, related to the mechanism for the dissemination to the public of regulated information “eMarket SDIR” and resolution No. 19879 of February 15th, 2017, related to the mechanism for the central storage of regulated information “eMarket Storage”). 
From May 19th 2014 to June 30th 2015, Enel S.p.A. used the authorized mechanism for the storage of regulated information denominated “1Info”, available at the address www.1info.it, managed by Computershare S.p.A. with registered office in Milan and authorized by Consob with resolution No. 18852 of April 9th, 2014.