Estonian news - etea March 24, 2012
Baltic News Service, 21.03.2012
The Estonian wind farms, Freenergy, Vardar Eurus and Nelja Energia will merge under Nelja Energia, as a result a company owning 17 wind farms will be set up in Estonia, Latvia and Lithuania.
Freenergy, Vardar Eurus and Nelja Energia will merge into one company by means of exchange of holdings, with Vardar Eurus acquiring a holding in Freenergy and then Freenergy will merge with Nelja Energia. The name of the new company will be Nelja Energia.
The sum total of the merging companies’ assets will be 335 million euros, Nelja Energia said.
The company said that the structure of the new company would make it possible to finish uncompleted wind farms in the three Baltic countries, and besides the company will also expand into other renewable energy spheres, mainly production of energy from biomass.
Commenting on the merger agreement signed at the end of January, Martin Kruus, CEO of Nelja Energia, said that it was an important merger in the Estonian renewable energy sphere.
Kruus added that as a result of the merger a company owning 17 wind farms in Estonia, Latvia and Lithuania would be established where all the investments and management would focus and which would be a more vital partner and with a simpler structure for all the parties.
The company has plans to complete the half-finished land wind farms in Aseri, Paldiski, Kunda and Hanila, and the sea wind farm in Northwestern Estonia. Besides, two wind farms will be built in Lithuania and one in Latvia and two biogas stations will be put up in Estonia.
“In the next few years we will invest into the Baltic renewable energy 150 million euros, to which the cost of the sea wind farm will be added,” he added.
In addition to Estonia, Nelja Energia has been operating in Lithuania since 2007 and in Latvia since 2008. The manager of the company can see growth in the renewable energy sphere mainly on the neighboring markets than in Estonia.