Eni sells 20% stake in renewables unit for €2 billion

Italian energy giant Eni has sold a minority stake in its Plenitude subsidiary to US-based investment company Ares for €2 billion ($2.32 billion).

Eni has agreed to sell a 20% stake in its renewable energy unit Plenitude to Ares Management Alternative Credit, which is part of US-based investment firm Ares Management. The purchase price was set at approximately €2 billion.

“The transaction is based on an equity value of Plenitude of €10 billion, corresponding to an enterprise value of more than €12 billion,” Eni said in a statement. “The agreement with Ares is part of Eni's development of its satellite model and follows the acquisition of a 10% stake in Plenitude's share capital by the investment fund Energy Infrastructure Partners.”

Eni added the transaction is currently subject to clearance by relevant authorities, without disclosing further details.

Plenitude was created in 2021 to invest in the renewable energy sector in Italy and abroad by Eni and Italian sovereign wealth fund Cassa Depositi e Prestiti Equity (CDP Equity), which is administered by government-run Italian investment bank Cassa Depositi e Prestiti (CDP).

According to the company's website, Plenitude currently operates 4 GW of renewable capacity and is planning to deploy another 4 GW by 2027.