A joint statement by Abu Dhabi Future Energy Co. PJSC (Masdar), and a renewable energy company in Greece, Terna Energy SA, has revealed that the latter has secured a deal to merge with the former, for an enterprise value of EUR 3.2 billion ($3.4 billion).
“The transaction is aligned with GEK TERNA’s strategy of becoming the leading diversified infrastructure group in Greece and Southeast Europe and will accelerate the Group’s path to a new growth era”, the two companies said.
The definitive agreement would initially transfer 67 percent of Terna Energy’s outstanding shares to Masdar. “After completion of the transaction, Masdar will launch an all-cash mandatory tender offer to acquire all the remaining outstanding shares of the company with the intention of reaching 100 percent”, the statement read.
“The transaction and subsequent offer values TERNA ENERGY’s total equity at 2.4bn euros [$2.6 billion] with an enterprise value of 3.2bn euros, making it the largest ever energy transaction on the Athens Stock Exchange, and one of the largest in the European renewables market”.
“TERNA ENERGY is expected to play an important role in growing Masdar’s portfolio across Europe as it [Masdar] targets 100 gigawatts (GW) global capacity by 2030 in support of the global energy transition”, the two companies said. “It also reflects Masdar’s confidence in TERNA ENERGY’s growth potential, as well as the strength of the Greek market and its renewables sector”.
Masdar chair Sultan Al Jaber, who is also UAE minister for industry and advanced technology, commented, “As one of Europe’s biggest renewable energy transactions in 2024, this investment reflects the UAE’s clear commitment to Greece and Europe’s clean energy development and it represents another major practical step in realizing one of the central goals of the UAE Consensus, to triple global renewable energy capacity by 2030”.
The timeline for the completion of the agreement, is subject to regulatory approvals and other conditions.
