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Spain's Grenergy shares jump after $962 mln Chile assets sale to KKR

Shares in Grenergy leapt as much as 28% on Wednesday early morning after the Spanish renewable energy company struck an offer to sell a possession portfolio in Chile to ContourGlobal, a KKR company, for an enterprise value of $962 million.

The sale will lower take advantage of, unlock worth that the marketplace was not acknowledging and free up capital to speed up the investment plan, analyst Eduardo Inmedio from brokerage Renta 4 said in a note to financiers.

Grenergy shares were up 19% in mid-morning trade, partially recuperating from a 28% decline since early November when the business reported a 91% drop in nine-month net profit.

The deal with KKR consists of $50 million based on the accomplishment of certain turning points and debt of $643 million, Grenergy said in a filing to the Spanish stock exchange regulator late on Tuesday.

The properties represent 23% of Sanctuary de Atacama, the biggest electrical energy storage job in the world with a capacity of nearly 11 gigawatt hours, and solar energy generation jobs with a possible capacity of 2 gigawatts.

The deal is anticipated to be completed in the coming days, Grenergy said.

(source: Reuters)