Abu Dhabi Future Energy Company (Masdar) announced today reaching a $3.43 billion agreement with Terna Energy’s shareholders including GEK TERNA SA to initially acquire 67 percent of the company’s outstanding shares at the completion of the transaction, subject to regulatory approvals and other conditions.
After completion of the transaction, Masdar will launch an all-cash mandatory tender offer to acquire the remaining outstanding shares of the company to reach 100 percent.
Greece gets significant investment boost
Masdar’s transaction and offer values Terna Energy’s total equity at 2.4 billion euros with an enterprise value of 3.2 billion euros. This makes Masdar’s acquisition the largest-ever energy transaction on the Athens Stock Exchange and one of the largest in the European renewables market.
Masdar’s deal with Terna will significantly boost capital investment in Greece and other European countries. Moreover, it supports the company’s contribution to Greece’s National Energy and Climate Plan (NECP) and the EU’s net zero by 2050 target.
“Today marks a major milestone in Masdar’s strategy to expand its portfolio to 100GW of clean energy by 2030 and it will make a substantial contribution to the renewable energy capacity of Greece,” stated Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology, Chairman of Masdar and COP28 President.
“It represents another major practical step in realizing one of the central goals of the UAE Consensus, to triple global renewable energy capacity by 2030,” added Al Jaber.
Greece’s leading RES investor
Terna is Greece’s leading renewable energy standard (RES) investor and a major contributor to the country’s transition efforts to cleaner and cheaper energy.
“Our agreement with Masdar is a recognition of the great value of Terna Energy and the result of the hard work of hundreds of people for more than 25 years. At the same time, it marks the beginning of a new era of even greater growth for GEK TERNA Group. It is also a strong vote of confidence for Greece and its prospects,” stated Georgios Peristeris, chairman and CEO of GEK Terna, and executive chairman of Terna Energy.
Masdar has retained Rothschild & Co. as the sole financial advisor. Meanwhile, Simmons & Simmons, Bernitsas Law, and Latham & Watkins are legal advisors for the transaction and financing.
In addition, GEK TERNA Group’s legal advisors included Reed Smith LLP and Potamitis Vekris while Morgan Stanley has been acting as sole financial advisor to Terna Energy.
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