Masdar announced on November 29, 2024 that it had signed an agreement to acquire the 70% stake owned by Terna Energy through a share swap deal for €3.2 billion. Through this acquisition, Masdar will take a major step further in its plans to strengthen presence in Europe.
Under the deal, Masdar will acquire all outstanding shares of Terna Energy through an all-cash tender offer pending on regulators’ approval.
Masdar plans to apply, immediately after closing the deal for launch of the mandatory offer on the Hellenic Capital Markets Commission.
Terna Energy specializes in diversified clean energy projects related to wind, solar, biomass, and hydro technologies. It is said to hold the biggest renewable energy portfolio in Greece and a significant share in Bulgaria and Poland. Of its more notable projects is Amfilochia pumped hydro facility in Greece – one of the largest across Europe, with a planned capacity of 680 MW.
This deal further reinforces Masdar’s presence in Europe, the region with high importance for its growth across geographies. With Terna Energy operating at 1.2GW and aiming to reach 6GW by 2029, the deal is expected to add on to Masdar’s ambitions of reaching 100GW of renewable energy capacity by 2030. According to Mohamed Jameel Al Ramahi, Masdar CEO, this acquisition has strategic value as it is part of the Masdar investment in outstanding teams and assets such as Terna Energy that will help drive the company toward ambitious growth targets.
Masdar’s expansion strategy is not limited to Europe. It has made inroads in Asia, Africa, and the United States and just signed a deal to invest $2.8 billion in renewable energy projects in countries participating in China’s Belt and Road Initiative in partnership with the country’s Silk Road Fund. The portfolio of Masdar today reaches an estimated 20GW in terms of renewable energy capacity and at various levels of development with a total value above $30 billion.
Masdar recently has been reported to achieve major milestones such as completing turbine installation at the 476 MW Baltic Eagle offshore wind farm in Germany, in partnership with Iberdrola. The power is expected to produce up to 1.9 TWh annually, sufficient to supply up to 475,000 homes.
Besides its European investments, Masdar has recently acquired the green energy company Saeta Yield from Canada’s Brookfield for EUR 1.2 billion and a stake in 48 solar plants controlled by Endesa, a subsidiary of Italy’s Enel, for EUR 817 million. These investments demonstrate Masdar’s role in promoting the global shift to sustainable energy.
