• EDP will acquire a 75.1% stake in Viesgo from funds managed by Macquarie. The Macquarie Super Core Infrastructure fund will hold the remaining 24.9%.

  • EDP provides Viesgo with the E-Redes electricity distribution network.
  • Viesgo will sell its remaining electricity generation assets, which represent approximately 500 MW of renewable energy and 913 MW of coal-fired energy, which will be decommissioned shortly.

Macquarie has entered into an agreement with EDP whereby Viesgo will significantly increase the size of the network of electricity distribution assets under its control. Under the agreement, EDP will acquire a 75.1% stake in Viesgo from funds managed by Macquarie. Viesgo will also sell its remaining power generation assets to EDP and EDP Renováveis.

Viesgo is a key player in the electricity market of the Iberian Peninsula: it owns and operates 31,411 kilometers of regulated electricity distribution networks in the north of Spain, a renewable energy generation capacity of approximately 500 MW in Spain and Portugal and a capacity of coal-fired power generation of 913 MW – which will be dismantled shortly – in Spain.

EDP will acquire a 75.1% stake in Viesgo, including the stake currently held by Macquarie European Infrastructure Fund 4. The Macquarie Super Core Infrastructure fund will hold the remaining 24.9%. EDP will also contribute E-Redes, its 20,766-kilometer electricity distribution network, to Viesgo.

The latter will sell its renewable energy portfolio to EDP Renováveis and its thermal coal assets to EDP. Following this operation, Viesgo will focus exclusively on the exploitation and development of the Viesgo Distribución and Begasa networks and the new E-Redes network, which represent a total network length of 52,177 kilometers.

Juan Caño, head of Macquarie Infrastructure and Real Assets for the Iberian Peninsula and a member of the Viesgo Board of Directors, commented: “It is essential that we continue to invest in the infrastructure of electricity distribution networks in Spain in order to ensure that households and industry continue to have access to a reliable and safe source of electricity. At Viesgo, by focusing on our regulated electricity distribution activities through this long-term alliance with EDP, we can guarantee that this vital public service will remain at the epicenter of Spain’s efforts to materialize the transition to a new energy mix ».

Miguel Stilwell d’Andrade, EDP’s interim CEO, stated: «This key operation reinforces our position at the forefront of the energy transition and marks the beginning of a long-term alliance with Macquarie in the electricity distribution networks in Spain, one from EDP’s main markets ”.

Miguel Antoñanzas, President of Viesgo, said: «This alliance will give rise to a joint project at the forefront of the energy sector in terms of competitiveness and innovation, and with enormous growth potential. I want to thank the Viesgo team for their dedication and commitment to the execution of a pioneering strategy, aimed at the early decarbonization of the energy system and Macquarie for their support since 2015 that has made Viesgo one of the most dynamic and innovative companies in the sector » .

The funds managed by Macquarie have been investing in Viesgo since 2015. During this period, Viesgo has progressively reoriented its activities towards its regulated electricity distribution network.

The closing of the transaction is subject to customary regulatory conditions.