Romania’s majority state-owned hydropower producer Hidroelectrica acquired an operational 108 megawatts (MW) wind farm from STEAG group, one of the largest generators of electricity in Germany.
Hidroelectrica is a leader in the production of energy and the main provider of ancillary services necessary for the National Energy System in Romania, a vital company in this strategic sector. This acquisition is one of the largest stand-alone M&A transactions in the renewables sector in Romania and is part of Hidroelectrica’s strategy to consolidate its leading position in the Romanian energy market and to become a regional leader in renewable energy.
The company was advised by international law firm CMS on all legal aspects of the acquisition, from completing extensive due diligence to drafting and negotiating the transaction documents.
“We are glad to have advised Hidroelectrica on its successful bid for the acquisition of this significant project in Romania,” said Horea Popescu, Managing Partner of CMS Romania and Head of CEE Corporate M&A. “By developing new capacities based on other renewable energy sources, this deal will contribute to the diversification of Hidroelectrica’s production portfolio.”
“The Romanian energy market has significant potential and despite the pandemic, we are seeing an increase in investor interest in this sector,” he added. “We remain optimistic about the deal environment in 2021 and hope this trend will bring to completion of several ground-breaking transactions, not only in the Romanian market but also across the region.”