Enel plans asset sales worth 21 billion euros ($21.5 billion) to reduce net debt and focus its transition to cleaner energy business in six key countries, the Italian electric company said on Tuesday ( 22).
The majority of the divestment plan is expected to be achieved by the end of 2023 and will include exits from Argentina and Peru and the sale of assets in Romania, the group said in its 2023-25 ​​strategy update.
The state-owned group intends to invest around 37 billion euros over the next three years in its six main markets: Italy, Spain, United States, Brazil, Chile and Colombia.
Enel also confirmed its plans to go carbon free by 2040 as it moves away from fossil fuels towards greater use of renewable sources.
Enel, which may also sell its gas portfolio in Spain, aims to reduce its net debt to 51-52 billion euros by the end of 2023, from 69 billion at the end of September.
Electric Electric CEO Francesco Starace told analysts the turmoil in energy markets meant Enel needed to return to more normal financial ratios.
However, he said current high prices should help it crystallize the value of its gas assets.
Russia’s invasion of Ukraine underscored the importance of energy independence, added Starace.
He cited as an example the expansion of a solar panel factory in Sicily and added that a similar project is being evaluated in the United States.
Enel promised to reward investors with a dividend of 0.43 euros per year for the period 2023-2025, up from 0.40 euros in 2022.
Source: CNN Brasil
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