Electricity

Hidroelectrica files non-binding letter of intent to buy CEZ assets in Romania

Hidroelectrica CEZ

Photo: Facebook/CEZ

Published

October 8, 2019

Country

Comments

comments icon

0

Share

Published:

October 8, 2019

Country:

Comments:

comments icon

0

Share

Romania’s Hidroelectrica, the country’s largest power producer 80%-controlled by the state, has submitted a non-binding letter of intent to buy the assets of Czech energy company CEZ in Romania, Hidroelectrica CEO Bogdan Badea has confirmed, Romania Insider reported, citing Economica.net.

The assets have attracted strong interest, CEZ spokesperson Ladislav Kriz said, according to Profit.ro.

CEZ officially announced this summer its decision to sell the assets in Romania.

“We have included seven Romanian companies in the market sounding (Energy Distribution Oltenia, Ovidiu Development, Tomis Team, MW Team Invest, CEZ Vanzare, TMK Hydroenergy Power and CEZ Romania). Investors can express their interest both for the entire bulk, but also for individual companies. The testing of market interest is carried out by CEZ’s exclusive investment advisor, Société Générale,” CEZ said in a press release at the time.

“We have submitted a letter of intent. In principle, we are interested in all the assets. We are now in the process of signing the non-disclosure agreement,” said Badea.

The final deadline for submitting non-binding offers is the end of November, Badea said, describing the deadline as “a bit tight.”

CEZ will begin the process of selling its assets in Romania in October and wants the transfer to be finalized or close to completion in 2022, company officials confirmed for local news agency Agerpres on September 9, according to Romania Insider.

The assets up for sale include one of the largest distribution companies in the country (customer portfolio of 1.4 million, 6 826 GWh of electricity delivered in 2018), Europe’s largest on-shore wind park Fantanele-Cogealac (600 MW installed capacity, 2018 production 1,105 GWh), a modernized hydroelectric system Resita, consisting of four dam reservoirs and four small hydroelectric power stations (22 MW in total, 83 GWh produced in 2018) and electricity and gas sales to end customers (3,425 GWh sold in 2018).

Comments (0)

Be the first one to comment on this article.

Enter Your Comment
Please wait... Please fill in the required fields. There seems to be an error, please refresh the page and try again. Your comment has been sent.

Related Articles

cbam electricity export western balkans serbia bih macedonia montenegro

Lorkowski: No Western Balkan country can get CBAM exemption for electricity in time

03 December 2024 - Without securing exemptions, Montenegro, BiH, North Macedonia, and Serbia would have to bear CBAM costs of electricity exports to the EU

EU EIB support battery manufacturing Northvolt bankruptcy

EU, EIB to support battery manufacturing amid Northvolt’s bankruptcy

03 December 2024 - The EU earmarked loan guarantees, grants and financing for the battery manufacturing sector right after Northvolt's financial crash

montenegro hpp krusevo epcg jaroslav cerni bulatovic vuckovic

Montenegro’s EPCG signs contract for Kruševo hydropower project design

03 December 2024 - Elektroprivreda Crne Gore and the Jaroslav Černi Water Institute have agreed next steps for the Kruševo hydropower project

Greece extends Meliti lignite plant to provide energy security in winter

Greece extends Meliti lignite plant operation for energy security in winter

03 December 2024 - Greece has extended the operation of its Meliti lignite plant by three months in order to maintain the stability of its energy system