The acquisition was announced back in late March this year. With the stake acquisition, Elia now owns 80% of the stake in Eurogrid and will fully control 50Hertz.
Elia acquired the stake from Australian infrastructure fund IFM Investors, which made an announcement earlier this year to divest half of its 40% shareholding in Eurogrid.
The acquisition was finalized after the company met all the conditions related to the transaction including the clearance from the European Commission.
Elia said: “The finalisation of this acquisition is a major step forward in realising Elia Group’s growth strategy. It will allow further strengthening of the cooperation between Elia and 50Hertz, and underscores Elia’s ambition to be one of the leading transmission system operators in Europe.”
To close the transaction, Elia Group has paid €976.5m. The company stated that the amount would be financed through 70% hybrid and 30% senior debt issuance.
Elia earlier stated that following the completion of the acquisition, it will focus on Germany and Belgium by fully implementing the previously agreed CAPEX plans valued at € 2.3bn in Belgium and € 3.3bn in Germany in the next five years.
When the transaction was announced in March, Elia Group CEO Chris Peeters said: “We are excited about consolidating our position in 50Hertz and look forward to supporting its management in the company’s next growth phase.
“The transaction will enable us to strenghten the collaboration between Elia in Belgium and 50Hertz in Germany and underscores our ambition to be a leading group of transmission system operators in Europe.”
50Hertz is one of the four German transmission system operators. Elia acquired 60% stake in the company from Vattenfall in a deal valued at €486m in 2010.
