Municipally owned Norwegian utility company Vardar is considering exiting the Baltic market and selling its shares in wind power developer Nelja Energia.
Vardar said in a disclosure to the stock exchange on Friday that it has initiated a process to analyze interest in Nelja Energia's shares, of which it holds 77 percent through its subsidiary Vardar Eurus AS.
The survey is part of an ongoing review of Vardar's structure and exploration of strategic alternatives, and could lead to some or all of the existing shareholders divesting their shares in the company.
There is no precise timeframe within which the decision about the sale is to be made, nor are there any specific potential buyers, Vardar CEO Thorleif Leifsen told the Baltic News Service.
In addition to the necessary approvals by the owners of Vardar, any transaction will be subject to approvals and clearances by the public authorities, including any relevant competition authorities, the disclosure to the stock exchange said.
Nelja Energia (4Energy) earned a profit of €8.9 million on sales of €46.4 million in 2016. The number 4 in its name refers to its focus on four renewable energy sources: wind, water, biomass, and the sun.
Vardar AS is a Norwegian energy company investing in renewable energy production in the Nordic countries and the Baltic states. Vardar Eurus is also registered in Norway. 90 percent of its stock belongs to Vardar AS, and 10 percent to Nordic energy investment fund NEFCO.
23 percent of Nelja Energia AS is owned by Estonian investors.
Editor: Dario Cavegn
Source: BNS, ERR