Enel Agrees to Sell Peruvian Power Generation Assets for Around $1.4 Billion
By Giulia Petroni
Enel has agreed to sell its Peruvian power generation assets to Niagara Energy for a total consideration of about $1.4 billion.
The Rome-based energy company said Wednesday that the transaction is expected to have a positive impact on net income of around 60 million euros ($65.5 million) next year, and to reduce consolidated net debt by around EUR1.6 billion between 2023 and 2024.
Peruvian company Niagara Energy is set to acquire the stakes held by Enel Americas and Enel Peru in Enel Generacion Peru through a takeover bid, and those held by Enel Peru in Compania Energetica Veracruz. The overall enterprise value of the assets amounts to around $2.1 billion.
"The transaction is in line with the group's strategic priorities, which envisage the repositioning of Enel on countries where the group has higher growth potential as well as an integrated presence, namely Italy, Spain, the United States, Brazil, Chile and Colombia," Enel said.
Closing is expected in the second quarter of next year, subject to conditions that include antitrust clearance in Peru.
Write to Giulia Petroni at giulia.petroni@wsj.com
(END) Dow Jones Newswires
November 22, 2023 01:44 ET (06:44 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
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