Sosteneo Acquires 49% Stake in Enel Libra Flexsys

Sosteneo, an investment manager that specializes in greenfield infrastructure projects related to the energy transition, has signed an agreement with Enel S.p.A. (“Enel”) through its subsidiary Enel Italia for the acquisition on behalf of clients of 49% of the share capital of Enel Libra Flexsys for approximately €1.1 billion (~$1.19 billion) upon closing.

Enel Libra Flexsys was established to develop and manage a large portfolio of energy transition infrastructure in Italy. The portfolio comprises 23 battery energy storage system (BESS) projects with a total capacity of 1.7 GW and 3 Open-Cycle Gas Turbine (OCGT) projects with a total capacity of 0.9 GW.

The revenues for the portfolio are fully contracted for 15 years through capacity agreements with Enel, as well as capacity payments from Enel that are backed by Terna, Italy’s transmission system operator.

The Transaction is expected to be completed in the first half of 2024 and remains subject to conditions precedent as well as regulatory and governmental approvals.

Umberto Tamburrino, Managing Partner / CEO and CIO Europe at Sosteneo commented: “This partnership with Enel represents a major investment in critical new infrastructure for the energy transition in Italy and is a landmark transaction on behalf of Sosteneo’s clients. The BESS and OCGT projects will provide flexibility and strength to the grid that is vital for the integration of more renewable generation into Italy’s energy system.”

EQT, a private equity firm, through its EQT Infrastructure VI fund, has agreed last year to acquire Statera Energy, a UK-based battery storage and flexible generation infrastructure developer and operator from InfraRed Capital Partners. Statera has 1 GW of flexible generation in operation and under construction, enough to power around 750,000 homes, and a total project pipeline of over 16 GW, with plans to deliver 7.5 GW of flexibility assets by 2030.

According to Mercom’s Annual and Q4 2023 Funding and M&A Report for Storage & Smart Grid. In 2023, 15 Energy Storage companies were acquired, compared to 28 in 2022.