EDP to base renewable energy unit in Spain
Energias de Portugal plans to float between 20 and 25 percent of its renewable energy division and base its headquarters in Spain.7 May 2008
MADRID - Energias de Portugal (EDP) confirmed Tuesday it plans to float between 20 and 25 percent of its renewable energy division and base its headquarters in Spain, EDP Chairman Antonio Mexia said.
Mexia told a news conference that EDP had chosen Spain as its hub for its Energias de Portugal Renovables unit since its main businesses are in the neighbouring country.
EDP Renovables had installed 1,639 megawatts (MW) of wind power generating capacity at the end of the first quarter, an increase of 26.6 percent over the same period a year earlier. It has a further 492 MW in the pipeline in Spain. The initial public share offer for EDP Renovables will take place this quarter.
Proceeds from the sale will be used to fund expansion in Poland and the United States, where last year EDP Renovables acquired Horizon Wind Energy of Texas from Goldman Sachs, making it the fourth-largest wind-power operator in the world with a total installed capacity of 3,706 MW. The company is planning to increase its generating capacity to 10,500 MW by 2012.
EDP Renovables reported yesterday a net income of EUR 26.6 million for the first quarter, compared with EUR 4 million for the whole of last year. Its gross profit amounted to EUR 155.5 million as electricity output climbed by 93 percent. Gross operating profit in the form of EBITDA was EUR 125.5 million.
[El Pais / Expatica]