Italy's A2A lifts investment plan to $27 billion on data centre demand

By Francesca Landini and Giancarlo Navach

MILAN (Reuters) -Italian multi-utility A2A said connected Wednesday it had raised its full ​projected investments for 2024-2035 to 23 cardinal euros ($27 billion)‌, with 1.6 cardinal euros earmarked for creating and managing information centres.

The updated concern program ‌to beryllium presented to analysts aboriginal increases projected concern by 1 cardinal euros and nudges up fiscal targets successful the last portion of the strategy.

A2A besides confirmed minimum yearly dividend maturation of 4%.

Shares successful A2A were down 6% astatine 0840 ⁠GMT, portion Milan's ‌blue-chip scale rose, with traders citing overly cautious fiscal estimates for adjacent twelvemonth arsenic the crushed for the drop.

A2A banal ‍has risen by astir 14% successful the past 30 days.

PRIVILEGED POSITION TO SUPPORT DATA CENTRES

Italy's bluish portion of Lombardy encompasses the country's fiscal superior Milan and the ​industrial metropolis of Brescia, a geographic country wherever A2A sees a surge ‌in caller integer infrastructures that volition boost energy demand, web transportation and thermal absorption needs.

"A2A's long-standing beingness successful Lombardy unneurotic with the important acquisition of energy networks successful the provinces of Milan and Brescia, enactment the radical successful a privileged presumption to actively enactment the roll-out of information ⁠centres", A2A CEO Renato Mazzoncini said ​in a statement.

Data centres astir Milan are expected ​to adhd astir 2 gigawatts of capableness implicit the adjacent 5 years, a tenfold summation from existent levels, Mazzoncini said past ‍month.

Separately A2A, which ⁠specialises successful vigor and discarded absorption successful Italy, reported a 4% year-on-year diminution successful its nine-month halfway nett to ⁠1.73 cardinal euros ($2 billion), owed to little hydroelectric production.

($1 = 0.‌8575 euros)

(Reporting by Francesca Landini and Giancarlo Navach, ‌editing by Gavin Jones and Alexander Smith)