Masdar Completes Acquisition of TERNA ENERGY to Propel Clean Energy Growth in Greece

Masdar's Strategic Acquisition of TERNA ENERGY

In a significant move for renewable energy in Greece, Abu Dhabi Future Energy Company (Masdar) has successfully acquired 70% of the shares of TERNA ENERGY, a leader in the Greek clean energy sector. This acquisition positions Masdar as the majority shareholder in TERNA ENERGY and comes after receiving all necessary regulatory approvals for the transaction. The shares were acquired at a price of 20 euros each, valuing TERNA ENERGY at an enterprise value of 3.2 billion euros. This deal stands out as the largest energy transaction ever on the Athens Stock Exchange and ranks among the biggest within the EU's renewable energy market.

Following the close of this considerable transaction, Masdar plans to initiate an all-cash mandatory tender offer, aiming to acquire any remaining shares of TERNA ENERGY. This strategy not only solidifies Masdar's stake in the company but also reinforces its commitment to enhancing the renewable energy landscape in Greece and Eastern Europe.

Masdar brings to the table long-term investment capabilities and global expertise, which are expected to significantly bolster TERNA ENERGY's growth plans. The aim is to achieve an operational renewable energy capacity of 6 gigawatts by 2029, marking a pivotal milestone in the energy transition journey of Greece and the broader European region.

TERNA ENERGY has established itself over the past two decades as a crucial player in the renewable energy sector, boasting the largest and most varied project portfolio in Greece. Its footprint extends into neighboring Bulgaria and Poland, with ongoing projects spanning across wind, solar, biomass, and hydro technologies. TERNA ENERGY is currently executing one of Europe's largest pumped hydro projects, the 680MW Amfilochia project, showcasing its leadership in the renewable energy domain.

As of now, TERNA ENERGY operates a capacity of 1.2 gigawatts, and with this acquisition, Masdar expresses strong confidence in the company’s potential for robust growth in the coming years. In addition to expanding its own portfolio, Masdar aims for a global renewable energy capacity of 100GW by the year 2030, aligning with the global shift towards sustainable energy solutions.

Mohamed Jameel Al Ramahi, CEO of Masdar, emphasized the pride the organization feels in becoming the majority stakeholder of TERNA ENERGY. He stated, “Our committed vision and long-term capital will unlock significant opportunities for further growth in TERNA ENERGY's expansion as it executes on its strategy to support Greece's renewable energy goals.” This sentiment resonates with the goal of not just acquiring assets, but also investing in high-caliber teams dedicated to executing their ambitious targets.

Further supporting this vision, Georgios Peristeris, Chairman and CEO of GEK TERNA, recognized the agreement with Masdar as a validation of TERNA ENERGY's unrivaled position in the green energy transition within Greece and southeastern Europe. He remarked, “We look forward to collaborating with Masdar towards a future of endless growth possibilities for TERNA ENERGY.” This partnership is primarily geared towards realizing shared goals of promoting clean, affordable energy produced locally.

In terms of financial and legal advisory, Masdar has engaged Rothschild & Co. as the sole financial advisor, alongside various law firms for legal counsel. GEK TERNA also had the support of Reed Smith LLP and Potamitis Vekris for the transaction.

As Masdar forges ahead with this strategic acquisition, both companies aim to harness this collaboration to significantly impact the renewable energy landscape, not just within Greece but across Europe. With growing investments and ambitious capacity targets, the partnership stands to enrich the region's energy transition efforts.

For more updates and insights, visit Masdar and follow them on their social media platforms.