GDF Suez and ACEA agree to restructure energy partnership

GDF Suez and ACEA Spa have preliminarily agreed to restructure the partnership between the two companies to respond to market changes, their respective strategic perspectives and new priorities in the energy sector, particularly the hydro market.

Upon completion of the transaction, ACEA will gain full control of the sales activities (AceaElectrabel Elettricità), as well as two power plants in Rome (Tor di Valle, Montemartini) and all the hydropower assets currently owned by AceaElectrabel Produzione. ACEA will also benefit from an option to sign a power supply contract with GDF SUEZ for 5 TWh per year (until the 30 of September 2016).

GDF Suez will retain most of the generation capacity and the trading activities currently in joint venture, including 100% of AceaElectrabel Produzione and of AceaElectrabel Trading. It will also increase its stake in Tirreno Power from 35% to 50%. Following this restructuring, GDF Suez will increase its net total installed capacity in Italy from 3700MW to

4400MW, obtaining a total electricity generation of 21.9 TWh.

“Following this deal, ACEA will be able to focus on the growth objectives and the strategic investments in its core businesses,” said Giancarlo Cremonesi, Chairman of ACEA “I remind, moreover, with satisfaction that ACEA and GDF SUEZ, through Suez Environnement, operate jointly and profitably in the water cycle management in several territories of Tuscany. In this sector of activity the two Groups intend to evaluate the opportunity to strengthen and develop their collaboration, in consistence with the Antitrust norms”.

“This transaction will allow both GDF SUEZ and ACEA to focus on their respective core strategic activities and development, while keeping their partnership in the water sector.” Gérard Mestrallet, Chairman and CEO of GDF Suez added. “Through this agreement, GDF SUEZ will be able to develop relevant benefits deriving from the integration of its activities in Italy where it enjoys a complete presence along the energy chain and can rely on a customer base of one million clients. The Italian market is core for the development of the Group which intends to keep on investing all across the energy value chain”.