Repsol to buy Viesgo's low-emissions power ops in Spain
Repsol SA (BME:REP) will acquire the unregulated low-emissions power generation operations, including hydropower assets, of fellow Spanish energy company Viesgo for EUR 750 million (USD 872m).
The Madrid-based buyer has agreed the deal with Viesgo’s owners, Macquarie Infrastructure and Real Assets (MIRA) and Wren House Infrastructure, it was announced on Wednesday.
The transaction covers assets with a combined capacity of 2,350 MW, including hydropower plants in northern Spain totalling 700 MW. The rest of the capacity comes from two combined cycle gas plants in Algeciras, Cadiz, and Escatron, Zaragoza. Viesgo will keep its coal-fired power plants.
Repol will also acquire almost 750,000 retail customers in gas and electricity, spread across the country, mainly in Cantabria, Galicia, Asturias, Andalusia, Castilla y Leon and Madrid.
The acquisition, which should be finalised in the fourth quarter, will expand Repol’s own installed capacity to 2,950 MW. The company targets reaching 2.5 million retail gas and electricity customers in Spain by 2025 and a low-emissions generation capacity of about 4,500 MW.