Alfa Communications, June 22, 2022

The energy holding Eastern European Electric Company B.V. (EEEC), part of Eurohold Bulgaria and a majority owner of Electrohold, will further increase its stake in the two publicly listed companies of the energy group – EDG West (former CEZ Distribution) and Electrohold Sales (former CEZ Electro), as a result of the realized tender offers for the acquisition of the shares of the minority shareholders.  

After the completion of the deals with the shareholders, who have accepted the offers, EEEC will acquire additional 6165 shares of EDG West for approximately BGN 1.7 million (EUR 954 000), increasing its stake in the company to 99.25% of the capital, and 37 shares of Electrohold Sales for nearly BGN 1.05 million (EUR 538 000), boosting its stake to 97.66% of the capital. The energy subholding of Еurohold will also seek to acquire all of the remaining shares in both companies it does not own within the squeeze-out procedure under Article 157a of the Public Offering of Securities Act. In this way, ЕЕЕC will increase its stake in the two companies to 100% of the capital. Еurohold‘s energy subholding plans to delist them from the register of public companies. 

“We aim to fully consolidate our participation in our subsidiaries. All companies in the group of Electrohold will remain available for investors through the parent company – Eurohold, whose shares are traded on the stock exchanges in Sofia and Warsaw, and whose reports consolidate the results of all subsidiaries of our energy group”, commented Kiril Boshov, chairman of the Management Board of Eurohold

EEEC acquired seven subsidiaries of the Czech energy group CEZ in Bulgaria for EUR 335 million in July 2021. As a result of the deal, Еurohold became an owner of 67% of the largest power grid operator (EDG West) and the biggest power supplier (Electrohold Sales) as well as 100% of the largest licensed electricity trader in Bulgaria (Electrohold Trade). EEEC also acquired an IT services company, a solar park, a biomass-fired power plant and the company (Electrohold Bulgaria) that used to coordinate the operations of all CEZ Group’s units in Bulgaria.