Iberdrola says it has reached an agreement with a consortium consisting of GE Energy Financial Services (40%); MEAG, asset manager of Munich Re and ERGO (40%); and EDF Energies Nouvelles (20%) for the sale of 32 operating onshore wind farms totaling 321.4 MW in France.
The transaction, subject to regulatory approvals, among other details not disclosed, is valued at 350 million euros, plus an additional 50 million euros depending on the wind resources at the wind farms. Citi acted as exclusive financial adviser to the consortium.
The wind farms are spread throughout France, use a variety of manufacturers' turbines, went into operation between 2006 and 2012, and have long-term contracts to sell the electricity under the French feed-in tariff.
EDF Energies Nouvelles will provide the asset management and operations and maintenance services for the wind farms. The consortium envisions repowering some of the wind farms, which feature 160 turbines, to improve their efficiency and reliability using GE technology.
Iberdrola says it sold non-core assets valued at approximately 850 million euros in 2012, including the recently announced sale of its seven operating wind farms in Germany to MVV Energie AG, through its subsidiary MVV Windenergie GmbH, and the sale of its 20% share in Medgaz to Fluxys.
The company says it will continue to divest more of its assets in the coming months.