ROSSETI’s Group represented by a branch of IDGC of Centre and Volga Region - Udmurtenergo, operating in the Udmurt Republic, as part of the ongoing consolidation of power grid assets, acquired the first part of the property complex of Izhevsk Electric Grids.
The sale and purchase agreement was signed by Deputy General Director of IDGC of Centre and Volga Region - Director of Udmurtenergo Andrey Malyshev and General Director of JSC Izhevsk Electric Grids Sergey Lysenko.
The boards of directors of IDGC of Centre and Volga Region and Izhevsk Electric Grids approved the execution of the transaction, an important condition of which is the recruitment of all personnel of the acquired company while maintaining the staff number and salary. The agreement enters into force on 1 January 2019.
The transaction agent was VEB Capital Investment Company, a 100% subsidiary of VEB.RF State Development Corporation. VEB Capital has significant experience in cooperation with companies of ROSSETI’s Group, including, for example, the sale of non-core assets of IDGC of Volga, IDGC of Northern Caucasus and Yantarenergo.
“The transaction made is beneficial to everyone: ROSSETI acquires an asset in good technical and financial condition, the region provides additional funds to the budget, consumers connected to Izhevsk Electric Grids receive guarantees from the federal company of uninterrupted power supply under any weather conditions, which is ensured including due to the scale effect of the holding,” stated Igor Makovskiy, General Director of IDGC of Centre, currently performing the functions of the sole executive body of IDGC of Centre and Volga Region.
The consolidation of power grid assets by ROSSETI’s Group makes it possible to implement a uniform technical policy that has proved its high efficiency in all regions where the power holding is present, which has a positive effect on the quality and reliability of power supply to consumers, as well as the availability of services of its member grid companies.
After completion of the necessary corporate procedures, all acquired power grid facilities will be included in ROSSETI’s Group’s digital transformation program, approved by the company’s Board of Directors.
ROSSETI’s Group plans to start the acquisition of the second part of the property complex of Izhevsk Electric Grids in 2019.