Enel S.p.A. announced that its subsidiary, e-distribuzione, has entered into an agreement with A2A S.p.A. for the sell-off. Under this agreement, A2A will acquire a 90% stake in a newly-formed entity, or NewCo. NewCo's operations will include the distribution of electricity in selected municipalities within the provinces of Milan and Brescia. The agreement values around 1.2 billion euros.
Upon completion, e-distribuzione will hold the remaining 10% stake of NewCo's capital. The deal is expected to reduce Enel Group's consolidated net debt by approximately 1.2 billion euros in 2024. Furthermore, it should also generate a positive effect on the net income reported in 2024 by about 1 billion euros.
In addition, e-distribuzione has signed a non-binding Memorandum of Understanding (MoU) with A2A. This MoU targets the potential acquisition of certain electricity distribution operations managed by A2A outside the provinces of Milan and Brescia.
