Zenith Energy (LSE:ZEN) has signed a memorandum of understanding through its wholly owned Italian subsidiary WESOLAR S.R.L. to sell a portfolio of solar development projects in Italy's Piedmont region for €12 million.
The portfolio carries an aggregate expected installed capacity of approximately 50 MWp, built up over the past year through acquisitions and development work.
Zenith expects the aggregate acquisition and development cost to total approximately €5 million on completion, implying a gross profit of around €7 million, a consideration around 2.4 times the underlying cost.
The buyer is an international group evaluating the acquisition of around 60,000 square metres of industrial buildings in Piedmont for conversion into a data centre, located near the solar projects, which are intended to supply it with renewable power.
If completed, the deal would mark the first monetisation of Zenith's Italian solar development portfolio, which currently totals approximately 193 MWp, of which 97 MWp sits in Piedmont.
The company intends to reinvest proceeds into further acquisitions and construction across its Italian pipeline, describing the capital as non-dilutive funding for growth.
"This disciplined approach of acquiring, developing and selectively monetising solar assets creates a self-reinforcing cycle of value creation," said chief executive Andrea Cattaneo, who added that construction of three Puglia solar plants remains on track for completion and grid connection before the end of 2026.
Completion depends on confirmatory due diligence, definitive transaction documentation and customary closing conditions, with no certainty the deal will proceed.
