GDF Suez to sell half of Portuguese thermal, wind power assets to Marubeni

GDF Suez SA, the French power and gas utility, today agreed to sell 50 per cent of a 3,300 megawatt portfolio of thermal and renewable power generation assets in Portugal to Japanese trading house Marubeni Corp.

The Paris-based company did not reveal the financial terms of the transaction.

The Paris, Brussels and Luxembourg Stock Exchanges-listed company said that it will retain the remaining 50 per cent share in a joint venture established with Marubeni and will continue to operate the assets.

The portfolio is made up of coal- and gas-fired thermal power plants with a capacity of 2,400 MW and renewable assets (mainly wind) with a capacity of 900 MW.

GDF Suez said that this deal further expands its partnership to Europe with the Japanese trading house after their joint investment in Asia and the Persian Gulf on a development strategy focusing in particular on renewable energies.

''I welcome the agreement that has been signed with Marubeni, which is a major partner of GDF Suez. It sees us launching a first long-term partnership with Marubeni in Europe and enables the Group to consolidate its presence on the Portuguese market and pursue its ambition to develop its renewable energy activities in Europe,'' said, Jean-François Cirelli, vice-chairman and president of GDF Suez.

The deal will reduce GDF Suez's consolidated net debt of around €600 million and €300 million in 2014, after equity consolidation of the joint venture.

Including the full impact of the operation, the progress achieved in the portfolio optimisation program will reach almost €4 billion out of a €11 billion target for 2013-2014.

The transaction is expected to close in 2013 third quarter (Q3), subject to legal customary conditions.