Sell of 50% stake in Hydro Global to CTG
Sell of 50% stake in Hydro Global to CTG
Lisbon, July 29th, 2022:EDP - Energias de Portugal, S.A. (“EDP”), is providing the following information to the market:
EDP has agreed to sell to China International Water & Electric Corporation (“CWE”), a company that belongs to China Three Gorges (“CTG”) group, its 50% participation in Hydro Global Investment Limited (“Hydro Global”), with headquarters in Hong Kong, for a total amount of approximately US$68 million. Hydro Global is a 50-50 joint venture between EDP and CTG, whose main asset is the hydro project San Gabán III in Peru with 209 MW, which is currently under construction.
As disclosed to the market in December 2021, EDP and CTG updated the Framework Agreement that governs the partnership between both parties on that date, adapting it to the current context of the sector, and making it more flexible to maximize value and promote the sharing of best practices for both companies and their shareholders, while ensuring the compliance with the most rigorous corporate governance standards.
The sale of its participation in Hydro Global will allow EDP to maintain its growth trajectory, in compliance with the objectives set out in its 2021-2025 Business Plan, maintaining its focus on the growth in renewable generation assets, networks and in the provision of value-added services to its customers.
This transaction is subject to regulatory and other customary conditions’ precedent for a transaction of this nature. This transaction is not expected to materially impact 2022 earnings.
This information is disclosed pursuant to the terms and for the purposes of the article 17 of Regulation (EU) No. 596/2014 of the European Parliament and of the Council.
EDP – Energias de Portugal. S.A.