French investment firm Meridiam SAS has agreed to acquire a 49.9% stake in Great Sea Interconnector (GSI), a special purpose vehicle set up by Greece’s power grid operator IPTO to implement the Cyprus-Crete electricity interconnection project, Bloomberg reported.
IPTO will retain a 50.01% controlling stake in GSI, according to the report. Sources from both companies declined to comment on the news.
The two companies will proportionally finance the interconnection needs, currently estimated at 1.2 billion euros, excluding the 658 million euro EU grant, Bloomberg said.
It remains to be seen whether IPTO will insist on the approval of the existing Concession Agreement with GSI or if a different text will be submitted to Cyprus’s energy regulator CERA.
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