Negotiations between power utility PPC and Italy’s ENEL for the former’s possible acquisition of ENEL Romania are expected to last until at least the end of January, based on a confidentiality agreement signed between the two sides, but could be extended by a month.
According to energypress sources, the confidentiality agreement includes a clause enabling a one-month extension to the talks, until the end of February.
PPC’s due diligence of ENEL Romania, ahead of a prospective deal that would establish the Greek utility as a regional force in southeast Europe’s energy market, is now back in full swing following a festive-season slowdown.
The prospects of a deal being struck for PPC’s acquisition of ENEL Romania are very promising, the sources added.
This upbeat outlook on a deal is highlighted by PPC’s decision to defer its presentation of an updated strategic plan to analysts until the end of February, rather than present it in December, as was originally planned.
This change of plan suggests PPC is looking to include its acquisition of ENEL Romania, if completed, in the updated strategic plan to be presented to analysts.
ENEL controls Romanian networks in the Muntenia region, surrounding Bucharest, the industrial zone of Timisoara, as well as Dobrota’s tourism section. The three networks offer a total capacity of 16 TWh.