Sosteneo acquires 49% share of Enel's battery business
Pamela Largue
Posted on: 5 March 2024
An agreement has been signed between Sosteneo and Italian utility Enel that will see Sosteneo acquire a 49% share of Enel Libra Flexsys.
An agreement has been signed between Sosteneo, an investment manager specialising in greenfield infrastructure projects, and Italian utility Enel that will see Sosteneo acquire a 49% share of Enel Libra Flexsys.
Enel Libra Flexsys, a company fully owned by Enel subsidiary Enel Italia, was established to develop and operate a portfolio of projects mainly composed of Battery Energy Storage Systems (BESS).
The agreement, valued at $1.1 billion, covers a portfolio of 23 Battery Energy Storage Systems (BESS) with a total capacity of 1.7GW and three renovation projects for Open Cycle Gas Turbine (OCGT) plants with a total capacity of 0.9GW.
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“Energy storage systems are a key asset in the energy transition, to which Enel is strongly committed: this is why they hold such an important position in our 2024-2026 Strategic Plan,” said Stefano De Angelis, CFO of the Enel Group.
Added De Angelis, “This partnership with a leading player such as Sosteneo enables us to further accelerate the development of storage solutions supporting Italy’s energy system, optimising capital allocation with the aim to create value for all stakeholders.”
Umberto Tamburrino, managing partner / CEO and CIO Europe at Sosteneo commented: “This partnership with Enel represents a major investment in critical new infrastructure for the energy transition in Italy and is a landmark transaction on behalf of Sosteneo’s clients. The BESS and OCGT projects will provide flexibility and strength to the grid that is vital for the integration of more renewable generation into Italy’s energy system."
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The transaction is expected to be completed in the first half of 2024 and remains subject to regulatory and governmental approvals.
According to Enel, the transaction is aligned with the Group's 2024-2026 Strategic Plan, which aims to "retain control of strategic assets while maximising productivity and returns on invested capital".
