The EBRD becomes a minority shareholder in Premier Energy PLC by acquiring 11% of its shares in an IPO, bringing its stake in the company to 3.2%.
The European Bank for Reconstruction and Development is acquiring a stake in Premier Energy PLC, one of the fastest growing vertically integrated energy infrastructure companies in Southern and Eastern Europe, to support investments in renewable energy generation capacity in Romania and Moldova, it said in a statement. The EBRD bought 11% of the shares offered in the initial public offering (IPO) of Cyprus-based Premier Energy, following an investment of 77 million Romanian lei (EUR15.5 million). The shares will be listed on the Bucharest Stock Exchange. The EBRD's investment is expected to represent just over 3% of the company after the initial public offering. The transaction supports both Romania's climate goals and those of the EBRD. The proceeds from the EBRD's participation will be used to build new renewable energy capacity, mainly in Romania, and it is estimated that the project will contribute to an annual reduction of more than 168 thousand tons of carbon dioxide emissions. As noted, the EBRD, a leader in climate finance, is committed to supporting Romania and the company's transition to green energy. The EBRD's involvement was important for the success of the placement, securing the equity issue and attracting other investors. The EBRD will support the client in taking action on climate change, transitioning to Net Zero and improving corporate governance. Premier Energy will also improve standards for promoting gender equality. EBRD Director and Head of Energy Europe Grzegorz Zielinski said the EBRD was pleased to work with Premier Energy and support its growth path in renewable energy. Premier Energy's Energy Transition Strategy is perfectly aligned with the EBRD's priorities in the region, he said. EBRD Director and Co-Director of Direct Investments Tamas Nagy said the EBRD was proud to expand its partnership with Premier Energy by becoming a shareholder. “In the run-up to the initial public offering, we have successfully worked with Premier Energy to strengthen its ESG (Environmental, Social and Corporate Governance) practices and set ambitious targets. We look forward to helping the company become a key regional player in green energy,” he emphasized. Premier Energy CEO Jose Garza said the company was delighted that the EBRD had become a shareholder in Premier Energy. “This investment strengthens our long-standing cooperation and emphasizes the importance of our shared commitment to renewable energy and sustainable development in both Moldova and Romania. With the EBRD investment, we are well positioned to expand our renewable energy capacity and significantly reduce our carbon emissions. This partnership reflects our commitment to achieving long-term growth and making a positive impact on the environment,” he said. Premier Energy CFO Petr Stohr said the EBRD's involvement in the IPO was instrumental to its success and thanked the bank for its confidence. “Their investment and support will enable us to accelerate our renewable energy generation projects through our integrated platform, which includes leading renewable energy forecasting, balancing and dispatch services. In addition, this platform serves approximately 2.4 million customers in both Moldova and Romania, contributing significantly to a sustainable energy future and reducing carbon emissions in the region. We believe that strong partnerships are essential for business growth and we are proud to have the EBRD on our side, helping us to achieve our strategic goals,” he said. To date, the EBRD has invested almost EUR 11 billion in 525 projects in Romania and over EUR 2.3 billion in 173 projects in Moldova. // 28.05.2024 - InfoMarket.
