Israeli firm Ellomay Capital signed an agreement to acquire two photovoltaic (PV) solar sites with fixed technology in the Veneto Region of Northern Italy.

The company, as per the agreed terms, will purchase all of the outstanding shares of the two Italian companies, Soleco and Tecnoenergy, which currently own the facilities.

Ellomay is expected to pay €25.5m for the solar facilities with fixed technology and aggregate installed capacity of 12MW.

Ellomay CEO Ran Fridrich noted, "The transaction is an excellent transaction that proves our business development abilities, our ability to locate transactions below market values using our flexible structure, and our expertise in transaction analysis."

The two sites are fully constructed and operating and were connected to the Italian national grid in August 2011 under the applicable Feed-in-Tariff regime.

Ellomay estimates combined annual revenues of approximately €4.7m ($6.3m) from the PV sites.

Purchase of the Italian sites serves to double the company’s current solar energy production capacity in Europe to 25MW.