The PPC Group announced the conclusion of an agreement with the Copelouzos and Samaras Groups for the acquisition of a renewable energy portfolio and the acquisition of a 20% stake in Alexandroupolis Electric Power Generation S.A. According to the announcement, the transaction for the renewable energy portfolio corresponds to an Enterprise Value of €111 million or 7.2x EV/EBITDA. The RES under development will be acquired for a consideration of €106 million, which will be further developed with the Copelouzos and Samaras Groups. It is also acquiring the 20% stake held by DAMCO ENERGY of the Kotelouzos Group in Elektropodouli Alexandroup S.A. for €27m, and will own 71% and a statutory majority, with the remaining 29% owned by DEPA Emporia.

The announcement:

PPC Group announces the conclusion of an Agreement – Framework Cooperation Agreement with the Kopelouzos and Samaras Groups for the acquisition of a portfolio of RES in operation with a total installed capacity of 66.6MW, the acquisition of a portfolio of RES under development with an installed capacity of up to 1.7GW and its joint development with the Kopelouzos and Samaras Groups, as well as the acquisition of a 20% stake in the company Elektroproduction Alexandroupolis S.A, which is developing a CCGT unit (840MW) and in which PPC already holds a majority stake (51%).

The company has a 51% stake in the company (51%).
The 66.6MW in operation acquired by PPC Group relates to 2 wind farms with a total installed capacity of 43.3MW recently commissioned in southern Evia and Lakonia, two areas with high wind potential, and photovoltaic parks with a total installed capacity of 23.3MW in operation. The transaction for the portfolio corresponds to an Enterprise Value of €111 million or 7.2x EV/EBITDA. It is noted that the capacity factor of the wind farms is 32% on average, higher than the national average (27%), while the majority of the portfolio has a high average average energy sales price.

In addition, PPC Group will acquire renewable energy projects under development with a total capacity of 1.7GW in various licensing phases and areas of the Greek territory, for a price of €106 million, which it will further develop with the Kopelouzos and Samaras Groups.

Finally, PPC is acquiring the 20% stake held by DAMCO ENERGY of the Kopelouzos Group in Alexandroup Electroproduction Alexandroup S.A. for €27 million, and will hold 71% and a statutory majority, with the remaining 29% owned by DEPA Emporia. Alexandroupolis Power Generation S.A., is moving ahead dynamically with the construction of the new 840 MW Combined Cycle Gas Turbine (CCGT) Thermal Power Plant in VI.PE. Alexandroupolis.

The completion of the final purchase and sale agreements and the final shareholders’ agreements is expected by the end of the year.

For this agreement, the PPC Group is expected to offer a combination of cash and treasury shares as consideration. In particular, it will pay an amount of €106 million in cash and an amount of €70 million in treasury shares at an offer price of €12.21, which was derived from the higher of the 6-month midpoint price and the spot price at the close of 24 September 2024.

The acquisition strengthens the PPC Group’s energy portfolio, with operating renewable energy projects of significant capacity and high quality, and secures a large portfolio of wind farm licenses in locations with high wind potential and secured grid access. In addition, PPC is increasing its share in the Alexandroupolis CCGT, a state-of-the-art project that will supply energy to the domestic market and neighbouring countries and will also play a key role in the export of electricity to South-Eastern Europe.

On the occasion of the signing of the agreement, PPC Group President and CEO George Stassis said: “This acquisition represents a new important step in PPC’s energy transformation in the domestic market, based on the gradual retirement of lignite-fired units and increased investment in renewable energy. With this agreement we are significantly strengthening our operating wind capacity with modern wind farms in areas with high wind potential, reducing the average age of our portfolio. The addition of an expanded portfolio of licences across the country confirms the Group’s leadership and contribution to the country’s green transition, the majority of which consists of wind projects that further diversify our technology mix. At the same time, we confirm our partnership with the Copelouzos and Samaras Groups for the development of the newly acquired portfolio, groups with long and accredited experience in the development of renewable energy projects.”

PricewaterhouseCoopers Business Solutions S.A. (PwC) acted as financial advisor and the law firms Vyzas Katrinakis & Co. and Labadarios & Co. acted as legal advisors to PPC in connection with the conclusion of a binding Framework Agreement with the Copelouzos and Samaras Groups.

Source: newmoney.gr