The management of Romanian state-controlled electricity distribution company Electrica has notified its shareholders that it plans to bid for the local assets put up for sale by the Czech utility group CEZ.

Electrica wants to team up with SAPE - the state's Energy Management Company, and with the hydropower group Hidroelectrica, the company said in a press release on the Bucharest Stock Exchange.

Electrica is the leading operator of electricity distribution networks in Romania and covers 18 of 41 counties, from three geographical areas.

CEZ operates the power distribution networks in seven counties in the Oltenia region. The group is also one of the major electricity suppliers in Romania and owns the biggest wind park in the country.

Electrica is probably interested in the distribution and supply divisions, while Hidroelectrica could target the wind parks.

Hidroelectrica's management has already convened the shareholders on June 25, to approve a binding offer for the CEZ Romania assets.

The Romanian state holds a 49% stake in Electrica and 80% of Hidroelectrica. CEZ wants to leave Romania to focus on the development of nuclear power plants in the Czech Republic.

(Photo: Pixabay)

editor@romania-insider.com