Endesa acquires Enel's Spanish renewables unit

SPAIN: Utility Endesa has acquired 60% of renewables division Enel Green Power Espana (EGPE), together with 1.6GW of online wind assets, from its parent company for €1.2 billion.

Endesa now owns 100% of the Spanish and Portuguese business with 1.6GW of online assets

The deal brings Endesa's stake in EGPE, formerly at 40%, to 100%. Endesa is, however, still controlled overall by Enel Group.

In 2009, Enel acquired 60% of Endesa's Spanish and Portuguese renewable assets to create EGPE, with total online assets of 1.7GW, including solar, small hydro and biomass.

Now with 100% control, Endesa aims to fine-tune operations of the renewables division, to be called Endesa Renovables. All assets are spread across Spain and Portugal.

By end-2018, the Spanish utility expects to increase Endesa Renovables' annual turnover by 10% and profits to increase by around 2%.

With the deal, Endesa, once a pioneering force in Spanish wind power, returns as a main player — albeit still under Enel's majority control — holding the country's fourth biggest portfolio of online wind assets (after Iberdrola, Acciona and EDP Renovaveis).