Italian multinational energy company Enel has successfully finalized an agreement with Ormat Technologies for the sale of a renewable asset portfolio in the United States, amounting to a total consideration of $271 million (€250 million).
The divested assets encompass the entire geothermal portfolio of Enel Green Power North America, along with several small-scale solar plants, boasting a combined capacity of approximately 150 megawatts (MW). The completion of the transaction followed the fulfillment of specific conditions precedent.
Enel anticipates a positive impact of about €250 million on the consolidated net debt of the Enel Group as a result of the deal. However, the transaction is projected to have a slight negative effect of around €30 million on the group's reported net income, while it is emphasized that this impact will not influence Enel's ordinary economic results.
It is noteworthy that the sale of this renewable asset portfolio, although impactful in financial terms, does not alter the substantial renewable energy capacity held by the Enel Group in the United States. The group maintains a robust profile with over 8 gigawatts (GW) of consolidated renewable capacity, showcasing its continued commitment to renewable energy initiatives in the region.
This strategic move aligns with Enel's broader corporate objectives and demonstrates a proactive approach to portfolio optimization. The successful completion of this transaction with Ormat Technologies underscores Enel's ability to navigate the dynamic landscape of the renewable energy market while making strategic decisions that contribute to the overall financial health and sustainability of the company.
As the global energy transition continues to evolve, transactions of this nature play a vital role in shaping the renewable energy landscape, with companies like Enel actively adapting their portfolios to align with changing market dynamics.