Masdar’s €3.2bn deal with TERNA ENERGY to supercharge Europe’s renewable energy future

Abu Dhabi Future Energy Company PJSC – Masdar has finalized its €3.2 billion acquisition of a 70% stake in TERNA ENERGY SA, marking a milestone in the renewable energy sector. The deal, valued at €20 per share, received full regulatory approval, becoming the largest energy transaction on the Athens Stock Exchange and a defining moment for the European renewable market.

This strategic move highlights Masdar’s focus on advancing its energy transition goals and scaling its operations in the renewable energy sector. Post-acquisition, Masdar plans to file a mandatory tender offer to acquire the remaining shares of TERNA ENERGY, solidifying its commitment to sustainable growth and a clean energy future.

Transforming Greece’s renewable energy sector

TERNA ENERGY has established itself as a leader in Greece’s clean energy projects, boasting a portfolio that spans wind, solar, biomass, and hydroelectric technologies. With an installed energy capacity of 1,224 MW, TERNA ENERGY aims to scale up to 6 GW by 2029, driving the green energy transition in Greece and southeastern Europe.

The company’s flagship projects, including the 680 MW Amfilochia pumped hydro initiative, reflect its leadership in innovative clean energy projects. TERNA ENERGY’s operational reach extends to Bulgaria and Poland, emphasizing its regional influence within the European renewable market.

Masdar’s Chief Executive Officer, Mohamed Jameel Al Ramahi, noted that this acquisition aligns with the company’s energy transition goals. He praised TERNA ENERGY’s achievements in the renewable energy sector, underscoring the strategic value of integrating the company into Masdar’s growing portfolio of clean energy projects.

Expert insights: Strengthening the green energy transition

This deal reinforces Masdar’s role in advancing sustainable energy futures globally. For TERNA ENERGY, the partnership accelerates access to capital and expertise needed to scale its installed energy capacity and meet ambitious energy transition goals.

Georgios Peristeris, Executive Chairman of TERNA ENERGY, expressed optimism about the collaboration, citing shared objectives for a green energy transition. He noted that Masdar’s resources and global outlook would bolster TERNA ENERGY’s ability to lead in Greece and across southeastern Europe’s renewable energy sector.

Deal-making experts behind the scenes

The transaction, valued as the largest energy transaction in Greece’s history, involved leading advisory firms. Masdar was supported by Rothschild & Co., Simmons & Simmons, Bernitsas Law, and Latham & Watkins. GEK TERNA and TERNA ENERGY worked with Morgan Stanley and Reed Smith LLP, ensuring that every aspect of the deal aligned with the renewable energy sector’s complex regulatory landscape.

Building a sustainable energy future

As Masdar moves toward its target of 100 GW global installed energy capacity by 2030, this acquisition plays a pivotal role. TERNA ENERGY’s innovative projects and long-term vision position it as a key enabler of the green energy transition in Europe. Together, the companies are expected to drive significant momentum within the European renewable market, fostering a collaborative and sustainable approach to global energy challenges.