Switzerland-based manager Energy Infrastructure Partners (EIP) is acquiring up to 9% interest in Plenitude, Eni’s €10bn diversified energy transition company.
EIP has agreed to invest €500m into Plenitude, with the option to increase the total investment to up to €700m, giving EIP a 9% stake in Plenitude.
The deal gives Plenitude an equity value of up to €8bn and an enterprise value of over €10bn.
Eni launched Plenitude in 2021 to drive its decarbonisation efforts. Plenitude, which operates in 15 countries, has a business involving 3GW capacity renewable energy production, energy sales and solutions and a network of nearly 20,000 charging points for electric vehicles.
EIP’s capital injection is expected to help Plenitude progress its plan including more than doubling its installed renewable generation capacity to 7GW and add 10,000 new charging points by 2026. Plenitude’s growth strategy also includes a goal of achieving carbon neutrality by 2040.
Roland Dörig, EIP founder and managing partner, said: “Eni is one of the few companies with the size, track record and expertise to make a mega-scale contribution to the global energy transition.
“We are excited to work with Eni as a partner to continue building on Plenitude’s impressive growth story and support Eni’s drive to create value for shareholders while contributing to the global energy transition.”
Stefano Goberti, CEO of Plenitude, said: “We are glad to have completed this transaction with EIP, whose expertise in the energy transition and renewables industry is recognised internationally. As a partner, EIP will help support Plenitude’s growth strategy with the goal of achieving carbon neutrality by 2040.”
Tim Marahrens, EIP partner and co-head of investments, said: “The value proposition of vertically integrated energy businesses has become clearer today than ever before.
”Diversified businesses with control over their own margins and value chains, like Eni’s Plenitude, are optimally positioned to thrive in markets as the energy transition continues and companies focus increasingly on serving the needs of their customers.”
Eni Ceo, Claudio Descalzi, said: “We have achieved an excellent transaction. Thanks to it we highlight the value of Plenitude within Eni; we strengthen Plenitude’s financial structure to further support its energy transition and growth path; and we establish a long-term partnership with a leading international financial investor capable of contributing to Plenitude’s value creation.”
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