Premier Energy: M&A-driven growth on track (upgraded to BUY)
Since our initiation in August 2025, Premier Energy has executed two sizeable, and in our view value-accretive, acquisitions. In September, it acquired 51% of the largest wind park in Hungary for EUR 108m (net purchase price, accounting for EUR 20m in cash generated in 2025E) expanding its presence into Hungary. On our estimates, the EV/EBITDA for this acquisition stood at 5.4x, below Premier’s 2025-26E EV/EBITDA multiple. Then, in November, it acquired 100% in a ready-to-build Battery-Energy-Storage-System (BESS) in Romania, with an all-in cost of EUR 75m. We estimate a 3-4Y payback period and c.22% IRR on this project. Consistent with past transactions, we see these acquisitions as value accretive in terms of scale (the wind park accounting for half the total wind capacity in Hungary; and one of the largest BESS in Romania) as well as cash earnings (we estimate c.EUR 20m each in the first year of operations). Despite 35% share price growth since November, Premier trades on undemanding multiples, in our view. We see additional upside for the company as a rare organic and M&A utility growth story in Romania. We have upgraded Premier Energy to BUY, with a new price target (PT) of RON 33.1/share, implying 18% upside.
WOOD & Company is the leading investment bank in Emerging Europe. Founded in 1991 and head-quartered in Prague, our footprint spans the region and touches investors around the globe.
A pioneer in Emerging Europe, WOOD executed many of the first CEE equity trades and landmark investment banking transactions. Our electronic trading platform was the first in the region, and remains the best. We are continually expanding our relevance and reach in these ever-evolving markets.
Our equity market share reflects our stature: 7% in Warsaw, 20% in Bucharest, 16% in Hungary, 40% in Prague and 5% in Vienna. Our distribution is unparalleled, with the largest salesforce in the region, servicing a uniquely diverse investor base.
We couple local expertise with a truly international perspective. With offices on the ground in the region, and in key financial hubs such as London and Milano, we are never far from our clients and we remain at the forefront of what’s afoot in the CEE emerging and frontier landscape.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.