Electrica pays EUR 1.62 million for 7.5 MW Stănești solar park

Electrica paid just EUR 1.62 million for the Stănești photovoltaic unit to Raylexo Limited and Long Bridge Management si Administrare, but it also took on EUR 3.82 million in existing loans.

Electrica said it completed the acquisition of the Stănești solar park in the south of Romania. The power distributor and supplier bought the unit for EUR 1.62 million from Cyprus-based Raylexo Limited and local firm Long Bridge Management si Administrare, according to its regulatory filing. The agreement was announced in June.

The solar power plant has an installed capacity of 7.5 MW and operational power of up to 6.8 MW. The transaction was executed via a subsidiary called Electrica Furnizare, which took over the shares of project firm Long Bridge Milenium.

Cost to be adjusted

The price may seem small, but the Stănești deal includes taking on loans with an outstanding amount of EUR 3.82 million, the update reveals. The acquisition agreement stipulates the sum may be adjusted with regard to financial results as of August 31, the statement adds.

Electrica earlier said it wants to expand to power production, namely from wind and solar energy

At the time of the deal, Electrica said it may buy Jade Power Trust’s portfolio of photovoltaic plants in Romania and its 45 MW Dorobanţu wind farm. Last month the Canadian firm sold two small hydropower plants on the Suha Mare and Suha Mică rivers, but it didn’t reveal the buyer. It only said the price would be 20% of the annual free cash, if any, as the complex ceased operations in 2018.

The Stănești solar park investment marks Electrica’s entry into the electricity generation market.

Blacklisted

In other news, the company said it appealed against the decision of the Competition Council to include it on a black list of companies involved in investigations regarding alleged rigging of public tenders. Electrica said it fully cooperated with the said state authority and that it wasn’t mentioned in the evidence.

It stressed doesn’t produce electric meters, so that it cannot be retained that it participated in any agreement aimed to share the market for the sale of meters and related equipment between 2010 and 2015. The case is pending before the High Court of Cassation and Justice, with the settlement deadline as of a trial date of 9 February 2022, the statement reads.

Electrica said it fully cooperated with the Competition Council and that it wasn’t mentioned in the evidence in the public tenders rigging investigation

Electrica also issued a notification that the voting rights of entities indirectly held by Allianz grew to 5.3% from 5.08%. The Romanian government holds a stake of just under 49%, as of the last quarterly report. The company is listed in Bucharest and London.