Enel exits Uruguay with USD-120m wind sale to Atlantica Yield

The renewables arm of Italian utility Enel SpA (BIT:ENEL) has sold a 50-MW wind farm in Uruguay to Spanish yieldco Atlantica Yield Plc (NASDAQ:AY) for USD 120 million (EUR 106m).

More specifically, Enel Green Power SpA has completed the sale of Enel Green Power Uruguay SA, which owns the Melowind wind farm in Cerro Largo through project company Estrellada SA. Enel noted that the sale price equals the enterprise value of its Uruguay-based subsidiary. The buyer said separately that the equity value of the transaction amounts to USD 45 million.

The particular wind farm is located about 320 km away from Montevideo and has been operating since 2015 under a 20-year power purchase agreement (PPA) with state-owned electric utility UTE.

The transaction is part of Enel’s disposal programme of non-core assets. At the same time, it raises Atlantica Yield’s wind portfolio in Uruguay to 150 MW.

“Melowind fits our strategy, brings a long contract with an offtaker with whom we already work and is a very complementary asset that we expect will have clear synergies with our existing wind portfolio,” stated Santiago Seage, CEO of Atlantica Yield.

(USD 1.0 = EUR 0.886)

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