Yahoo Finance Eni's (E) Plenitude Signs Deal to Acquire Italy-Based PLT
Eni SpA’s E renewable energy unit, Plenitude, entered an agreement to fully acquire Italy-based wind and solar developer PLT for an undisclosed amount.
PLT has a 1.6-gigawatts (GW) renewable capacity portfolio in Italy and Spain. The transaction will enhance Eni’s onshore wind capacity in Italy and strengthen its presence in Spain.
Located in Lombardy, Plenitude currently delivers electricity to about 10 million customers in the Europe retail market. It intends to serve more than 11 million customers by 2025 and install more than 30,000 electric vehicle charging points.
Per the deal, Plenitude will acquire PLT Energia and SEF and their respective subsidiaries and affiliates. The acquisition will add more than 400 megawatts of renewable energy assets to Plenitude’s portfolio, most of which are wind farms. Of the renewable energy assets, 80% are in operation. The rest are currently under development and are expected to be up and running in 2024.
Beside this, PLT has a 1.2-GW capacity in development in Italy and Spain, with 60% of the assets remaining in advanced maturity stages. The acquisition will boost Plenitude’s renewable project pipeline to 13 GW. It will also add 900,000 retail customers in its home country.
The acquisition upholds Plenitude’s business model and will enable it to encourage growth in Italy and abroad. The acquisition will enable Plenitude to exceed 2 GW of net installed capacity, in line with the company’s targets. It expects to reach more than 6 GW in 2025.
The agreement is expected to support Plenitude’s growth, and enhance its position in Italy and Spain. The transaction is subject to customary approvals.
Price Performance
Shares of Eni have outperformed the industry in the past three months. The stock has gained 23.1% compared with the industry’s 13.6% growth.
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Zacks Rank & Key Picks
Eni currently carries a Zack Rank #3 (Hold).
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