ERG to buy 80-MW renewables portfolio in France

A subsidiary of Italian energy company ERG SpA (BIT:ERG) has agreed to acquire a company that holds an operational renewables portfolio of 80 MW in France.

The transaction, with an equity value of EUR 45 million (USD 54.8m), marks ERG's entry into the French solar market, the buyer said on Friday.

Specifically, ERG Eolienne France bought a 100% equity stake in Omniwatt from FPCI Capenergie 3, a fund managed by the Paris-based private equity investor Omnes Capital.

The portfolio consists of five wind farms, with a combined capacity of 58 MW and two photovoltaic (PV) parks, of a total of 22 MW. All the assets, with an average commercial operation date (COD) of 2017, have their revenues secured under an incentive tariff system with an average expiry date at 2034.

Together, the wind and solar farms in the portfolio are capable of generating some 174 GWh per year, enough to offset 95 kilotonnes of carbon dioxide (CO2) annually.

The transaction is scheduled to be closed by the end of July 2021, subject to getting the green light from the French Ministry for the Economy and Finance.

(EUR 1.0 = USD 1.217)

Choose your newsletter by Renewables Now. Join for free!