Austria-based energy and environmental services company EVN has inked an agreement to sell 50% of its stake in Devoll Hydropower to renewable energy developer Statkraft.

The sale is subject to an approval from the Ministry of Economy, Trade and Energy of Albania as well as the approval of such amendment to the concession agreement by the Parliament of Albania.

EVN’s divesture is expected to result in a onetime, negative impact of €20m on the results of operations after tax but will partially be offset by effects related to electricity prices being below expectations.

Following the sale, EVN will not be obligated to provide further equity and will potentially increase its future financial flexibility.

EVN will continue its operations in Albania through the Astha project with its partner, Verbund.