EnBW Energie Baden-Württemberg AG separates from its interests in Poland and sells these to Electricité de France (EDF). According to the agreement signed by both companies, EDF is acquiring two EnBW subsidiaries holding respectively a 32.45% shareholding in the Polish coal-fired power station in Rybnik in southern Poland and a 15.59% shareholding in the Kogeneracja combined heat and power plant in Wroclaw.
The value of the transaction is approximately € 301 million in total. The sale is still subject to the approval of the antitrust authorities.
This transaction is one of the steps taken by EnBW to consistently implement its objective of divesting business operations that are no longer strategically relevant as well as divesting its interests outside its international target markets. Following EDF’s withdrawal as shareholder of EnBW this February, this also ends the unbundling of the jointly owned generation business.
Hans-Peter Villis, CEO of EnBW :
“ At an international level, we intend to focus on a number of selected target markets. The sale of our stakes in the Polish generation business brings us another important step closer to this strategic objective, as we are adjusting our investment portfolio in the process. This will reinforce our financial strength and provide us with important financial headroom to allow us to increase our investment in the new energy concept, and thereby in EnBW’s future. ”
It is EnBW’s aim to strengthen its position with low CO2 emissions. To this end, the company intends to invest heavily in the expansion of renewable energies and modernisation of its generation facilities over the next few years. In addition to the approximately 3,000 megawatts of installed capacity from renewable energies already in place, EnBW intends to build a further 3,000 megawatts or so of new generation capacity by 2020. This would almost double its capacity in the field of renewable energies. An estimated € 8 to 10 billion would be necessary to shoulder this huge investment in expansion.
In addition, EnBW intends to increase its local generation activities and raise its profile as provider of smart energy solutions.
In order to realise the planned projects EnBW has, among other things, launched an internal efficiency programme, initiated capital measures and defined a divestiture programme of € 1.5 billion to sell non-strategic investments and optimise shareholdings.
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Offshore Wind Staff , December 21, 2011; Image: enbw