Massive Renewable Energy Deal: Ellomay Secures Strategic 9-Year PPA with European Giant St
July 7, 2025
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Ellomay Capital (NYSE American: ELLO) has signed 9-year power purchase agreements (PPAs) with Statkraft for three operating solar plants in Italy. The PPAs cover 75% of the capacity of the plants, which have a combined capacity of 38 MW. Ellomay holds a 51% interest in these projects.
The agreement strengthens Ellomay’s renewable energy platform in Europe. The company’s Italian solar portfolio includes 160 MW under construction (51% owned), 124 MW with construction permits, and an additional 140 MW expected to receive permits soon. The PPAs were structured to provide long-term stability while maintaining merchant upside potential in a volatile market.
Ellomay Capital (NYSE American: ELLO) ha firmato accordi di acquisto di energia (PPA) della durata di 9 anni con Statkraft per tre impianti solari attivi in Italia. Gli accordi coprono il 75% della capacità degli impianti, che complessivamente raggiungono una capacità di 38 MW. Ellomay detiene una quota del 51% in questi progetti.
L’accordo rafforza la piattaforma di energie rinnovabili di Ellomay in Europa. Il portfolio solare italiano dell’azienda comprende 160 MW in costruzione (di cui il 51% di proprietà), 124 MW con permessi di costruzione e ulteriori 140 MW che si prevede otterranno presto i permessi. I PPA sono stati strutturati per garantire stabilità a lungo termine, mantenendo al contempo il potenziale di guadagno nel mercato volatile.
Ellomay Capital (NYSE American: ELLO) ha firmado acuerdos de compra de energía (PPA) por 9 años con Statkraft para tres plantas solares en funcionamiento en Italia. Los PPA cubren el 75% de la capacidad de las plantas, que tienen una capacidad combinada de 38 MW. Ellomay posee un 51% de participación en estos proyectos.
El acuerdo fortalece la plataforma de energía renovable de Ellomay en Europa. La cartera solar italiana de la empresa incluye 160 MW en construcción (51% propiedad), 124 MW con permisos de construcción y otros 140 MW que se espera obtengan permisos próximamente. Los PPA fueron diseñados para ofrecer estabilidad a largo plazo, manteniendo el potencial de ganancias en un mercado volátil.
Ellomay Capital (NYSE American: ELLO)는 이탈리아에서 운영 중인 세 개의 태양광 발전소에 대해 Statkraft와 9년간 전력 구매 계약(PPA)을 체결했습니다. 이 계약은 총 용량 38MW 중 75%에 해당하는 설비를 포함하며, Ellomay는 이 프로젝트들에 대해 51%의 지분을 보유하고 있습니다.
이번 계약은 유럽 내 Ellomay의 재생에너지 플랫폼을 강화합니다. 회사의 이탈리아 태양광 포트폴리오는 건설 중인 160MW(51% 소유), 124MW 건설 허가 보유, 그리고 곧 허가를 받을 예정인 추가 140MW로 구성되어 있습니다. PPA는 변동성이 큰 시장에서 장기적인 안정성을 제공하면서도 상업적 이익 가능성을 유지하도록 설계되었습니다.
Ellomay Capital (NYSE American : ELLO) a signé des contrats d’achat d’électricité (PPA) de 9 ans avec Statkraft pour trois centrales solaires en exploitation en Italie. Ces PPA couvrent 75 % de la capacité des centrales, qui ont une capacité totale de 38 MW. Ellomay détient une participation de 51 % dans ces projets.
L’accord renforce la plateforme d’énergie renouvelable d’Ellomay en Europe. Le portefeuille solaire italien de la société comprend 160 MW en construction (51 % détenus), 124 MW avec permis de construire, et un supplément de 140 MW qui devrait bientôt obtenir les permis. Les PPA ont été structurés pour offrir une stabilité à long terme tout en conservant un potentiel de gain sur un marché volatil.
Ellomay Capital (NYSE American: ELLO) hat 9-jährige Stromabnahmeverträge (PPAs) mit Statkraft für drei in Betrieb befindliche Solarkraftwerke in Italien abgeschlossen. Die PPAs decken 75 % der Kapazität der Anlagen ab, die zusammen eine Kapazität von 38 MW haben. Ellomay hält eine 51 % Beteiligung an diesen Projekten.
Die Vereinbarung stärkt Ellomays Plattform für erneuerbare Energien in Europa. Das italienische Solarportfolio des Unternehmens umfasst 160 MW im Bau (51 % Eigentum), 124 MW mit Baugenehmigungen und weitere 140 MW, für die bald Genehmigungen erwartet werden. Die PPAs wurden so gestaltet, dass sie langfristige Stabilität bieten und gleichzeitig das Potenzial für Marktvorteile in einem volatilen Markt erhalten.
Positive
- Secured 9-year long-term PPAs with Europe’s largest renewable energy generator
- PPAs cover 75% of capacity, providing stable revenue while maintaining upside potential
- Strong development pipeline with 424 MW of solar projects in various stages
- Strategic partnership with respected industry leader Statkraft enhances bankability
Negative
- PPAs only cover 75% of capacity, leaving 25% exposed to market volatility
- Limited ownership stake of 51% in the project companies reduces revenue capture
Insights
Ellomay secures 9-year PPAs with Statkraft for 75% of three Italian solar plants, enhancing revenue stability while preserving upside potential.
Ellomay’s new 9-year power purchase agreements with Statkraft represent a significant strategic win that transforms the risk profile of these assets. By securing PPAs for 75% of the capacity of three operating solar plants (combined 38 MW), the company has effectively created a hybrid revenue model that provides downside protection while maintaining exposure to potential market upside for the remaining 25% capacity.
The structure of these agreements demonstrates sophisticated portfolio management. Rather than locking in 100% of production at fixed prices, Ellomay has struck an optimal balance between guaranteed revenue streams and merchant exposure. This approach provides banks and investors with the stability they demand while preserving opportunities to capture value during high-price periods in Italy’s volatile energy market.
The partnership with Statkraft, Europe’s largest renewable energy generator, adds substantial credibility to these PPAs. Statkraft’s financial strength and market position make these agreements highly bankable – a critical factor that will likely improve financing terms for Ellomay’s extensive 424 MW Italian development pipeline (160 MW under construction, 124 MW permitted, and 140 MW in permitting).
This transaction establishes a replicable model for Ellomay’s future projects, potentially accelerating development timelines by demonstrating a clear path to revenue certainty. For investors, these PPAs transform speculative development assets into infrastructure-like investments with predictable cash flows, significantly de-risking Ellomay’s European renewable portfolio while maintaining growth potential.
Tel-Aviv, Israel / Milan, Italy, July 07, 2025 (GLOBE NEWSWIRE) — Ellomay Capital Ltd. (NYSE American; TASE: ELLO) (“Ellomay” or the “Company”), a renewable energy and power generator and developer of renewable energy and power projects in Europe, USA and Israel, announced today that three Italian project companies in which the Company indirectly holds a 51% interest signed long-term (9-year) power purchase agreements (“PPAs”) with Statkraft, Europe’s largest generator of renewable energy. The PPAs cover 75% of the capacity (at P50) of three operating solar plants in Italy’s central-southern zone (CSUD), with a combined capacity of approximately 38 MW.
Ran Fridrich, CEO and Board member of Ellomay, said: “This transaction reinforces Ellomay’s strategy of enhancing the value and stability of its renewable platform across key European markets. The collaboration with Statkraft—one of Europe’s most respected and experienced offtakers—strengthens the foundation of this deal. Together with Ellomay’s disciplined development strategy and high-performing asset base, these PPAs set a benchmark for quality-driven growth in utility-scale renewables. Ellomay aims to structure similar agreements for other projects, including its remaining Italian solar portfolio that currently consists of 160 MW under construction processes (51% owned), 124 MW that received construction permits and additional 140 MW that are expected to receive permits in the near future.”
Maya Shaltiel, CEO of Maya International Strategic Alliances Ltd. (“MISA“), who led the negotiation and structuring of the transaction on behalf of Ellomay, said: “We are proud to have delivered bankable and resilient PPAs for Ellomay, in close collaboration with Statkraft. The PPAs support long-term stability for strong renewable assets in Italy and reflect a structure designed to thrive amid market complexity. In a period of high volatility and growing demand for green energy, we secured long-term certainty while preserving merchant upside — a structure that reflects strategic clarity and adaptability to evolving market conditions. We deeply appreciate Statkraft’s partnership and look forward to continuing to support energy transition efforts across Europe.”
Gennaro D’Annucci, Head of Origination Italy at Statkraft, said: “We are pleased to collaborate with Ellomay on this important transaction, which underscores Statkraft’s role as a leading force in the European PPA market. This agreement further strengthens our substantial renewable energy portfolio in Italy and enables us to offer innovative and competitive green supply solutions tailored to the needs of Italian corporates and industrials. It reflects our enduring commitment to driving the energy transition forward and delivering value through clean energy.”
About Ellomay Capital Ltd.
Ellomay is an Israeli based company whose shares are registered with the NYSE American and with the Tel Aviv Stock Exchange under the trading symbol “ELLO”. Since 2009, Ellomay focuses its business in the renewable energy and power sectors in Europe, USA and Israel.
To date, Ellomay has evaluated numerous opportunities and invested significant funds in the renewable, clean energy and natural resources industries in Israel, Italy, Spain, the Netherlands and Texas, USA, including:
- Approximately 335.9 MW of operating solar power plants in Spain (including a 300 MW solar plant in owned by Talasol, which is 51% owned by the Company) and 51% of approximately 38 MW of operating solar power plants in Italy;
- 9.375% indirect interest in Dorad Energy Ltd., which owns and operates one of Israel’s largest private power plants with production capacity of approximately 850 MW, representing about 6%-8% of Israel’s total current electricity consumption;
- Groen Gas Goor B.V., Groen Gas Oude-Tonge B.V. and Groen Gas Gelderland B.V., project companies operating anaerobic digestion plants in the Netherlands, with a green gas production capacity of approximately 3 million, 3.8 million and 9.5 million Nm3 per year, respectively;
- 83.333% of Ellomay Pumped Storage (2014) Ltd., which is involved in a project to construct a 156 MW pumped storage hydro power plant in the Manara Cliff, Israel;
- 51% of solar projects in Italy with an aggregate capacity of 160 MW that commenced construction processes;
- Solar projects in Italy with an aggregate capacity of 134 MW that have reached “ready to build” status; and
- Solar projects in the Dallas Metropolitan area, Texas, USA with an aggregate capacity of approximately 27 MW that are connected to the grid and an additional 22 MW that are awaiting connection to the grid.
For more information about Ellomay, visit http://www.ellomay.com.
About Statkraft
Statkraft – Europe’s largest renewable energy producer – is a company with 7,000 employees in over 20 countries that develops and manages hydropower, wind, solar and storage system assets, also offering PPA (Power Purchase Agreement) solutions for energy buying and selling. With a history and experience of 130 years, Statkraft operates in Italy since 2020, inspired by the group’s core values: We act responsibly, We grow together, We make an impact. Principles that have always guided us towards sustainable and socially responsible action. Indeed, the management of stakeholder relations is respectful of the highest standards of corporate compliance, thus ensuring an ethical approach to business and excellent feedback from the communities that welcome our green investments.
For more information about Statkraft, visit http://www.statkraft.com
About Maya International Strategic Alliances Ltd.
MISA specializes in structuring and negotiating strategic transactions in the energy and infrastructure space. With deep expertise in European and Asian energy markets, MISA supports sponsors and investors in delivering commercially sound, bankable solutions tailored to local and global dynamics.
Information Relating to Forward-Looking Statements
This press release contains forward-looking statements that involve substantial risks and uncertainties, including statements that are based on the current expectations and assumptions of the Company’s management. All statements, other than statements of historical facts, included in this press release regarding the Company’s plans and objectives, expectations and assumptions of management are forward-looking statements. The use of certain words, including the words “estimate,” “project,” “intend,” “expect,” “believe” and similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company may not actually achieve the plans, intentions or expectations disclosed in the forward-looking statements and you should not place undue reliance on the Company’s forward-looking statements. Various important factors could cause actual results or events to differ materially from those that may be expressed or implied by the Company’s forward-looking statements, including changes in electricity prices and demand, regulatory changes, increases in interest rates and inflation, changes in the supply and prices of resources required for the operation of the Company’s facilities (such as waste and natural gas) and in the price of oil, the impact of the war and hostilities in Israel and Gaza and between Israel and Iran, the impact of the continued military conflict between Russia and Ukraine, technical and other disruptions in the operations or construction of the power plants owned by the Company, inability to obtain the financing required for the development and construction of projects, inability to advance the expansion of Dorad, increases in interest rates and inflation, changes in exchange rates, delays in development, construction, or commencement of operation of the projects under development, failure to obtain permits – whether within the set time frame or at all, climate change, and general market, political and economic conditions in the countries in which the Company operates, including Israel, Spain, Italy and the United States. and general market, political and economic conditions in the countries in which the Company operates, including Israel, Spain, Italy and the United States. These and other risks and uncertainties associated with the Company’s business are described in greater detail in the filings the Company makes from time to time with Securities and Exchange Commission, including its Annual Report on Form 20-F. The forward-looking statements are made as of this date and the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Contact:
Kalia Rubenbach (Weintraub)
CFO
Tel: +972 (3) 797-1111
Email: hilai@ellomay.com
FAQ
What is the size of the PPA deal between Ellomay (ELLO) and Statkraft?
The PPAs cover 75% of the capacity of three solar plants with a combined capacity of 38 MW in Italy’s central-southern zone (CSUD).
How long are the PPAs between Ellomay and Statkraft?
The power purchase agreements (PPAs) have a duration of 9 years.
What is Ellomay’s current solar development pipeline in Italy?
Ellomay has 160 MW under construction (51% owned), 124 MW with construction permits, and 140 MW expected to receive permits soon.
What percentage does Ellomay own in the Italian solar projects?
Ellomay holds a 51% interest in the project companies operating the solar plants.
Who is Statkraft in relation to Ellomay’s PPA deal?
Statkraft is Europe’s largest generator of renewable energy and will serve as the power purchaser in the PPAs with Ellomay’s Italian solar plants.
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