Enel moves ahead with selling Romanian assets, eyes Hidroelectrica as a buyer

Enel, Europe’s biggest utility group, has kicked off the sale of its operations in Romania in a process led by French bank BNP Paribas and expected to value the assets at about EUR 1 billion, Reuters announced quoting unofficial sources. A spokesman for Enel declined to comment while BNP was not immediately available for comment.

“BNP is now gauging appetite and whether Enel sells all or only part of its business depends on the buyers,” one of the sources said.

Enel’s boss Francesco Starace may take advantage of Romanian state-owned power producer Hidroelectrica’s ambitions to hoover up assets in Romania to cash out from some local subsidiaries including Enel Energie and Enel Energie Muntenia which supply energy nationwide. Enel also owns three electricity distribution monopolies in Romania, serving the regions of Southern Muntenia (including Bucharest), Banat, and Dobrogea, as well as wind parks.

Hidroelectrica is seeking to hire advisers to handle possible bids for Enel and CEZ’s Romanian assets and is willing to pay EUR 10 million for the consultancy services alone.

(Photo source: the company)