Cairo – Mubasher: Elsewedy Electric announced signing a purchase agreement with R.F. Energy S.A, subsidiary to F.G Europe S.A, to acquire the entire stake in four companies in Greece for EUR 55 million.

The deal includes the acquisition of three wind energy companies and another firm owning a hydroelectric power project, the Cairo-based firm said in a statement to the Egyptian Exchange (EGX) on Sunday.

The acquisition will be financed by 75% from a ring-fenced project finance obtained from the National Bank of Greece (NBG) and 25% from shareholders' equity.

The deal is expected to be finalised by 28 June, the company added, noting that the total capacity of the four companies reaches 63.6 megawatts (MW).

During the first quarter of 2019, Elsewedy Electric logged a net profit of EGP 955.51 million, compared to EGP 1.431 billion in the year-ago period.

Year-on-year, the company’s costs of revenues grew by 14.05% to EGP 9.413 billion in the three-month period ended 31 March from EGP 8.254 billion.

As for standalone business, profits of the Arab world's largest listed cable company plunged by 58.5%, registering EGP 17.61 million in Q1-19, compared to EGP 42.45 million in Q1-18.