Sale of Mascarenhas Hydro Power Plant ("Energest") | edp.com

Lisbon, August 30th, 2022: EDP – Energias de Portugal, S.A. (“EDP”), through its 57.55% [1] owned subsidiary EDP - Energias do Brasil S.A. (“EDP Brasil”), informs that have entered into a sale agreement with VH GSEO UK Holdings Limited, a subsidiary of Victory Hill Global Sustainable Energy Opportunities, to formalize the total disposal of Energest S.A., the owner of Mascarenhas Hydro Power Plant (HPP). The Mascarenhas HPP has 198MW in installed capacity and lies in the State of Espírito Santo, Brazil.

The total consideration for the transaction corresponds to an estimated enterprise value of R$ 1,225 million (€ 243 million, considering an exchange rate of 5.04 EUR/BRL), of which R$ 800 million (€ 159 million, considering the aforementioned exchange rate) upon closing and the remaining to be paid in line with the conditions set forth within the plant’s concession renewal process. The operation issubject to any other post-closing adjustments and obligations common to this type of transaction.

This transaction reduces the weight of conventional generation and namely hydro exposure in Brazil, in line with the 2021-2025 business plan targets presented to the market in February 2021.

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.

EDP – Energias de Portugal. S.A.

[1] EDP owns directly 56.05% of EDP Brasil, however consolidates 57.55%, considering treasury stock adjustment.