The merged entity, which will have capacity of over 5 GW, will create a new rival for Iberian renewable energy giants Iberdrola Renovables, Acciona and EDP Renovaveis.

Enel controls 92% of Endesa, after having bought Acciona’s stake in the company last year. Endesa has 800 MW in capacity after having sold most of its renewables to Acciona as part of the deal.