What kind of acquisitions is PPC looking for in the Balkans?

Of Thanks to Floudopoulos

After the completion of the capital increase of PPC, the market is waiting with particular interest for the next moves of the company, which according to the official announcements will include investments of organic development but also acquisitions.

Competent sources clarify that the emphasis on the part of PPC is given to acquisitions abroad, in order for the company to achieve the long-standing goal of internationalizing its presence.

According to information, the management of PPC, in the context of the search for possible investment opportunities abroad, has examined more than 20 projects in markets in the Balkans, without so far having identified any project that meets the specifications required by the company. What is the profile of the projects that PPC is looking for for acquisition abroad, especially in the markets of Bulgaria and Romania?

First of all, projects are mainly sought at an early stage of development and not projects that have already been constructed as PPC’s goal is to achieve the highest possible return on investment.

Second, projects are sought in the two most mature RES technologies, namely wind and photovoltaic.

Thirdly, PPC is targeting projects of medium or larger size (photovoltaic over 10 – 20 MW and wind over 30 – 40 MW).

Fourth, PPC is looking for projects that have a double-digit IRR guarantee, ie projects with a guaranteed satisfactory income.

Competent sources estimate that the first PPC agreements abroad are expected to be locked in early 2022, by next May at the latest.

It is reminded that PPC through the capital increase has acquired funds amounting to 1.35 billion euros, while another 1.3 billion euros are the revenues from the sale of 49% of HEDNO.