Agreement

MADRID--(BUSINESS WIRE)-- 

Borja Acha Besga
Secretary of the Board of Directors

OTHER RELEVANT INFORMATION

In accordance with Article 227 of the Securities Market Act, Endesa, S.A. reports the following information:

Endesa S.A. (“Endesa”) through its wholly-owned subsidiary Enel Green Power España, S.L.U., signs an agreement with Masdar (Abu Dhabi Future Energy Company PJSC) for the sale of a 49.99% minority stake in the share capital of Enel Green Power España Solar 2, S.L.U. (“EGPE Solar-2”), which holds four operational solar photovoltaic installations in Spain, with a total installed capacity of approximately 446 MW.

The transaction foresees the recognition of a consideration by Masdar of 184 million euros for the acquisition of 49.99% of the share capital of EGPE Solar 2, an amount subject to adjustments customary for these kinds of transactions. The enterprise value on a 100% basis of EGPE Solar 2 recognized in the agreement is equal to 368 million euros.

This new agreement follows Endesa’s partnership with Masdar finalized in December 2024 which relates to a 2 GW portfolio of other solar assets already operating in Spain as of the date of the signing of the previous agreement.

The transaction is set within the framework of a long-term partnership with Masdar, which also foresees 15-year power purchase agreements (PPAs) under which Endesa, through a wholly owned subsidiary, is expected to acquire the energy generated by the photovoltaic plants involved in the deal.

The transaction is expected is set to bear no impact on Endesa’s economic results as will continue to maintain control and fully consolidate EGPE Solar 2 upon closing of the transaction.

The closing of the deal, which is expected to occur during the second quarter of 2025, is subject to several conditions’ precedent customary for these kinds of transactions, including clearance from the Spanish Authorities on foreign investments.

The transaction is in line with the “Partnership” business model outlined by Endesa in its 2025-2027 Strategic Plan with the aim to retain control of strategic assets while maximizing productivity and returns on invested capital.

Secretary of the Board of Directors