(Alliance News) - Redelfi Spa announced Thursday that its U.S.-law subsidiary Redelio Renewables LLC has approved the budget aimed at developing the pipeline of Battery Energy Storage System projects totaling about USD20 million for the next four years.

In addition, Redelio acquired the first five projects from the U.S.-registered BESS Power Corporation, which is also indirectly owned by Redelio.

The purchase from BESS Power of the five projects, with a capacity of about 920 MW, on the one hand provides Redelio with a solid base for the development of its activities, and on the other hand allows BESS Power itself to focus on the development of more advanced-stage projects, which now constitute a pipeline with a total capacity of 1.2 GW.

In addition, the greater concentration of the pipeline in favor of the subsidiary Redelio, thanks to the acquisition of the projects, may allow for an increase in the expected consolidated margins, also in view of the greater share held by Redelfi in Redelio - indirectly by 50 percent - compared to BESS Power, indirectly by about 25 percent.

The guidance in the updated 2023-2026 plan, approved in December, is still consistent with business development forecasts and, therefore, as of today is confirmed.

Redelio's approval of the budget implies Redelfi's commitment to invest the first USD5 million in shareholder financing and confirms the importance and centrality of the U.S. market in the group's development strategy.

Davide Sommariva, chairman of Redelfi's board of directors, commented, "This investment represents a fundamental step for Redelfi in consolidating its presence in the U.S. market, which remains crucial to the group's growth, and consolidates the partnership with Elio Energy Group, which played a decisive role in the development of BESS Power's previous pipeline."

Redelfi's stock is up 0.6 percent at EUR5.06 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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