Enel Russia board of directors call EGM For Sale Of Coal-Fired Plant Reftinskaya GRES
PJSC “Enel Russia” Board of Directors voted in favour of holding an Extraordinary General Shareholders’ Meeting required to approve a major transaction, namely the sale of coal-fired plant Reftinskaya GRES. The relevant sale-purchase agreement is to be signed by PJSC “Enel Russia”, as the seller, and JSC “Kuzbassenergo”, owned by Siberian Generating Company as the purchaser.
Mr Carlo Palasciano Villamagna, General Director of PJSC “Enel Russia said that “Today’s Board of Directors decision allows us to move forward with the deal for the sale of our coal-fired power plant, Reftinskaya GRES, subject to shareholders approval. Plant disposal was already envisaged in our Strategic Plan and previously disclosed to financial markets. This disposal is in line with our path to refocus our business strategy towards a more sustainable model.”
Other key terms and conditions of the transaction recommended by the company’s Board of Directors to the Extraordinary General Shareholders’ Meeting include the price, which shall be no less than 21 billion roubles (net of Russian Federation VAT) and is subject to price adjustments of up to 5%, and on top of that a contingent component of up to 3 billion roubles total payable within 5 years from completion subject to specific conditions.
The Extraordinary General Shareholders’ Meeting of the company has been convened in the form of in-absentia voting for July 22nd, 2019, while the record date is June 27th, 2019. The expected timeline for the transfer of Reftinskaya GRES ownership to JSC “Kuzbassenergo” is within 18 months from the entry into effect of the sale-purchase agreement. The sale is also subject to the approval from the Russian Federal Antimonopoly Service.
The 3,800 MW Reftinskaya GRES facility is the biggest coal-fired power plant in Russia, owned by Enel Russia and located in Reftinsky settlement, Sverdlovsk region. The power plant consists of six 300 MW units and four 500 MW units, while the installed thermal capacity amounts to 350 Gcal/h. Reftinskaya GRES is able to meet around 40% of the total electricity consumed in the Sverdlovsk region.
Source : Strategic Research Institute