Renewable energy generation in Lithuania. Source: Ministry of Energy of the Republic of Lithuania.
Estonian state-owned energy company Eesti Energia AS has won clearance from the Lithuanian Competition Council to buy Tallinn-based renewable energy producer Nelja Energia AS.
The Council said in a statement on Monday that the planned takeover will not create a dominant position or significantly impede the competition in the relevant markets.
As announced in late May, Eesti Energia’s fully owned subsidiary Enefit Green AS agreed to acquire Nelja Energia for EUR 289 million (USD 335m) plus the assumption of EUR 204 million in net debt as at end-2017.
Nelja Energia owns 17 wind farms in Estonia and Lithuania with a combined capacity of 287 MW, the largest one being the 60-MW Silute facility. The company also has a 3.9-MW biomass combined heat and power (CHP) plant and a pellet factory with an annual production of 140,000 tonnes. In addition, the firm has a minority interest in two biogas power and heat cogeneration plants in Estonia.
The transaction has also been approved by the Latvian Competition Council. In Estonia, it is subject to a prolonged review.