Eni has agreed to sell a minority stake in its renewables entity Plenitude to Swiss asset manager Energy Infrastructure Partners for up to USD 768 million

Eni sells stake in renewables entity for $768 mln

Italy

ROME, December 22, 2023 – Eni has agreed to sell a minority stake in its renewables entity Plenitude to Swiss asset manager Energy Infrastructure Partners for up to USD 768 million, the Italian energy giant announced on Thursday.

The deal will see an initial capital increase in Plenitude of USD 549 million, with the option for Energy Infrastructure Partners to raise its participation by USD 768 million by early 2024.

The final amount will give the buyer shares in the company of around 9%.

Under the deal, Eni’s subsidiary is valued at USD 11 billion including debt.

“Thanks to this transaction we highlight the value of Plenitude within Eni, we strengthen Plenitude’s financial structure to further support its energy transition and growth path, and we establish a long-term partnership with a leading international financial investor,” said Claudio Descalzi, CEO of Eni.

Integrated energy player Plenitude is currently fully owned by Eni and provides renewables production, retail services and charging points for electric vehicles.

It has a renewables portfolio of around 3 GW, up from 2.2 GW in 2022. The company’s installed capacity is expected to increase to more than 7 GW by 2026 and 15 GW by 2030.

Additionally, the company intends to increase its electric vehicle charging points to more than 30,000 by 2026.

The company’s retail segment currently provides energy to around 10 million customers in Europe.

According to Reuters, Plenitude is expected to have earnings before interest, taxes, depreciation and amortisation of around USD 987 million this year, which is expected to rise to USD 1.98 billion by 2026.

Eni previously postponed an IPO of the low-carbon unit in June 2022.