E.ON has agreed to sell its Italian hydropower complex in Terni to ERG Power Generation SPA.
The 527 MW Terni hydropower complex extends across the regions of Umbria, Lazio and Marche, and consists of 16 hydro power plants, 1 pumping station, 7 large dams and 3 reservoirs, 22 weirs and 155 km of channels and tunnels.
The transaction follows the sale of E.ON's coal, gas and solar generation business in Italy, and is subject to regulatory approvals. ERG, a leading Italian wind power firm, will pay nearly €1 billion for the assets.
Luca Bettonte, ERG's chief executive officer, commented: "This acquisition is of paramount importance for the Group, since it offers the opportunity to diversify our production sources by entering the hydroelectric sector with notable dimensions and is in keeping with our growth strategy in renewables via investments in high quality assets."