Geneva, Switzerland — Etrion Corporation has completed the previously announced acquisition of a portfolio of solar assets in Italy from Deutsche Bank for €10.3 million.
The Italian solar portfolio acquired from Deutsche Bank includes 6.4 megawatts (MW) of operating assets and 10 MW of permitted projects ready for construction in the Puglia region plus a development pipeline of more than 150 MW in various stages of permitting.
The operating solar photovoltaic plants are expected to produce over 10 million kilowatt hours (kWh) of electricity and approximately €4 million of cash flow per year. The plants also benefit from the 2009 feed-in-tariff of 0.353 euros per kWh plus a market price of approximately €0.08 per kWh. The Italian feed-in-tariff is a premium purchase price for electricity from solar generation and is guaranteed by the Italian government for 20 years from the start of operations.
“We are pleased to take ownership of these assets that represent immediate revenues for the company. There is substantial value in the more than 150 MW of projects under development, a large part of which is already fully permitted and ready for construction,” said Marco Northland, Etrion’s CEO.
Etrion also announces that its previously announced equity financing to meet the Toronto Stock Exchange listing requirements for the industrial category, originally scheduled to close in late June, is now targeted to close by the end of July.