State Grid 387 million euros shares Portugal National Energy Network Corporation

The "Equity Exchange Agreement" between China State Grid Corporation and Portugal's state-owned industrial holding company and the signing ceremony of the "Framework Agreement" with Portugal's National Energy Network Corporation were held on the 22nd at the Ministry of Finance of Portugal.

According to the agreement, the State Grid Corporation of China acquired 257 million euros (approximately US$ 510 million) for a 25% stake in Portugal National Energy Network. This is the first time that Chinese companies have acquired state-level grid companies in Europe. According to reports, after the merger and acquisition of the State Grid will send senior management personnel to participate in the Portuguese National Energy Network's business management.

Liu Zhenya, general manager of the State Grid Corporation of China, who attended the signing ceremony, said in his speech that the State Grid Corporation of China is committed to technological innovation in the energy and power fields and is at the world advanced level in the areas of UHV, smart grid, and operation control of large power grids. Portugal National Energy Network Corporation is an important energy company in Portugal. It has a complete power and natural gas transmission network and has a good operating performance. It has great influence in Portuguese, African and South American Portuguese-speaking countries. The two companies have complementary advantages. The strategic investment will provide a new historical opportunity for the development and sustainable development of Portugal National Energy Network.

Liu Zhenya stated that the State Grid Corporation of China will always adhere to the principle of openness and transparency, strengthen exchanges and cooperation with all shareholders, make overall plans for the needs of various stakeholders, and abide by the content of the “Equity Exchange Agreement” and “Framework Agreement”. The relevant government regulations and regulatory policies, conscientiously fulfilled various commitments, fully respected the corporate culture of Portugal National Energy Network Company, worked with all parties concerned, promoted the sustainable and healthy development of Portugal National Energy Network Company, and provided Portugal with a safe and reliable energy supply. To make positive contributions to the economic and social development of China and Portugal.

The signing ceremony of the day was hosted by Portuguese Finance Minister Gaspar, Portugal’s Foreign Minister Portas, Minister of Economy Pereira and other senior government officials, Chinese Ambassador to Portugal Zhang Beisan, and representatives of relevant Portuguese departments and companies attended the ceremony.

Portuguese Prime Minister Coelho also met with Liu Zhenya on the same day. The two sides conducted in-depth exchanges on issues such as energy and electricity cooperation.

The Portuguese government announced earlier this month that the State Grid Corporation of China and Oman Petroleum have won the bid for the equity privatization project of the Portuguese National Energy Network Corporation. The State Grid Corporation of China has obtained a 25% stake and the Oman Petroleum Corporation has obtained a 15% stake.