Romania: Hidroelectrica and UCM Resita acquisition

, SEE Energy News

Romanian electricity producer Hidroelectrica signed new contract with E&Y on UCM Resita acquisition.

Hidroelectrica has concluded a consultancy services contract with E&Y worth some 200,000 euros, who will provide assistance in the purchase of assets of USM Resita.

The contract envisages due-diligence consulting services and evaluation of the assets of UCM Resita, which will be taken over and used in maintenance and modernization activities. The contract was signed on 16 March and has a duration of 12 months.

UCM Resita, a local manufacturer of energy equipment, has been in a difficult situation for a long time, and is now insolvent. However, it is one of Hidroelectrica’s main partners for maintenance works on hydropower plants and the company’s management announced last year that it is interested in taking over some assets of UCM Resita, in order to do the maintenance works “in house”.