International law firm CMS has advised longstanding client Public Power Corporation SA (PPC) on the strategic Cooperation Framework Agreement (CFA) for the development and construction of almost 90 solar projects of up to 2000MW in Romania, Italy, Bulgaria, and Croatia. The value of the deal is estimated at up to EUR 2 billion and is expected to be implemented over the next three years.

The 90 solar projects are owned by MYTILINEOS Energy & Metals in Romania (516 MW), Italy (503 MW), Bulgaria (500 MW) and Croatia (445 MW) and are at various stages of development.

With this new agreement, PPC Group will acquire RES projects in three new countries and expand its presence in Romania, while MYTILINEOS will undertake the development and construction of the projects, which will then be acquired by PPC Group upon completion of their connection to the electricity grid.

The agreement is an important milestone for the energy transition, with the projects expected to provide power for 320,000 households and displace 3.4 million tonnes of CO2 emissions.

Horea Popescu, managing partner of CMS Romania and Head of CEE Corporate M&A, commented: “We are delighted to have advised PPC on this landmark deal, which strengthens its leading position in the European renewable energy sector and its ambition to promote green electricity generation and energy storage projects. We were able to rely on our unique renewable and cross-border transactions expertise to advise PPC throughout this complex transaction.”

This agreement follows the successful acquisition by PPC Renewables, a wholly owned subsidiary of PPC, of an 84-MW operational wind farm in Romania from Lukoil Group last month, which CMS has also advised on.

Horea Popescu and Mircea Moraru from Romania led the team who advised PPC. They were assisted by Veliko Savov from Bulgaria.

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Notes to editors:

CMS

Founded in 1999, CMS is an integrated, multi-jurisdictional organisation of law firms that offers full-service legal and tax advice. With 80 offices in more than 45 countries and more than 5,800 lawyers, CMS has long-standing expertise both in advising in its local jurisdictions and across borders. From major multinationals and mid-caps to enterprising start-ups, CMS provides the technical rigour, strategic excellence and long-term partnership to keep each client ahead in its chosen markets.

The CMS member firms provide a wide range of expertise across 19 practice areas and sectors, including Corporate / M&A, Energy & Climate Change, Funds, Life Sciences & Healthcare, TMC, Tax, Banking & Finance, Commercial, Antitrust, Competition & Trade, Dispute Resolution, Employment & Pensions, Intellectual Property and Real Estate.

For more information, please visit cms.law