MADRID, Feb 27 (Reuters) - Spanish renewable power company Acciona Energia will cut dividends, curb investments, generate around 2 billion euros ($2.36 billion) from asset sales and reduce its debt to
Acciona Energia slashes dividend, targets €2bn sales to protect ratings
Balance sheet strategy and outlook
Dividend cut and asset sales plan
MADRID, Feb 27 (Reuters) - Spanish renewable power company Acciona Energia will cut dividends, curb investments, generate around 2 billion euros ($2.36 billion) from asset sales and reduce its debt to protect its credit ratings, it said late on Thursday.
Acciona Energia, which is controlled by Spanish group Acciona SA with a stake of more than 90%, has made strengthening its balance sheet and keeping investment grade ratings a strategic priority.
Capital spending shift
After years of significant investments, in recent years, it has changed course, reducing capital spending and selling renewables assets.
Acciona Energia proposed a 93% reduction in dividend for 2025 to 0.03 euros a share and said the generation of some 2 billion euros in asset sales should happen this year.
Debt reduction and investment targets
Investments will be around 900 million euros this year, down from 1.4 billion euros in the last two years and 2.2 billion euros in 2023, it said, while net debt is expected to fall below 3 billion euros from 4.16 billion euros now.
Long-term returns and contract renegotiations
For the longer term, it anticipated improved returns from renewable energy through the renegotiation of long-term energy supply contracts known as power purchase agreements.
($1 = 0.8472 euros)
(Reporting by Pietro Lombardi; editing by Barbara Lewis)
