Macquarie Asset Management is buying a 49% stake in a Greek electricity utility owned by Public Power Corporation (PPC) in a €2.1bn deal.

PCC is selling part of Hellenic Electricity Distribution Network Operator (HEDNO) to Macquarie for €1.3bn, in addition to a pro-rata net debt of €804m. PPC will retain the remaining 51% ownership interest.

HEDNO, the sole electricity distribution in the country, serves more than 7.6m customers across the Greek mainland and its islands via a 242,000km network of electricity distribution lines, interconnectors and substations.

Macquarie is making the investment on behalf of institutional investors including pension funds and insurance companies. 

Martin Bradley, senior managing director at Macquarie Asset Management, said: “The transition to net zero emissions is reshaping how electricity is produced, transported, and used across the Greek economy.

”Significant investment in electricity distribution infrastructure is needed to facilitate this rapid change and ensure that households and businesses across the country continue to have access to safe, reliable, affordable, and sustainable electricity in the years ahead.”

Georgios Stassis, chairman and CEO of PPC, said: “With the strong support of such an international and experienced partner like Macquarie, together we will develop an extensive program for the digitalisation and automation of our national network, so it can facilitate the increasing electrification of the economy and offer quality and reliable service to all citizens.

“At the same time, PPC will proceed strengthened as it implements its investment plan to accelerate the development of renewables, while financing an ambitious plan to expand into neighbouring countries in the years ahead.”

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