Bulgaria’s competition authority has opened an in-depth investigation into Nomad Capital Group’s planned acquisition of the inactive Maritsa East 3 coal-fired power plant and ContourGlobal Operations Bulgaria. The review covers the proposed transaction structure and related arrangements before completion.
Scope of the competition review
The investigation will examine the proposed ownership structure, transaction financing, and the planned reorganisation of assets ahead of closing. Regulators will also assess whether the restructuring changes the effective scope of the transaction. They will determine which generation, storage and commercial activities should be included in the competition review.
The authority’s assessment is expected to extend to the companies and individuals behind Nomad Capital Group. It will also look at any links between Nomad and other businesses operating in Bulgaria’s energy sector.
Ownership, control and role of NEK
Nomad Capital Group is seeking majority stakes and sole control of the two businesses involved in the planned deal. State-owned National Electricity Company (NEK) would remain a shareholder after completion.
The transaction is described as involving an inactive thermal asset whose ownership remains strategically important. The potential return of capacity would affect Bulgaria’s generation balance, coal-sector restructuring and regional power trading.
Planned separation of solar and battery assets
The deal has been complicated by plans to separate a solar power plant and a battery storage facility from the acquired business. Those assets are expected to be transferred to a newly created joint-stock company before the transaction closes.
Energy regulators will evaluate how this separation affects which assets are effectively included in the competition review. The central focus extends beyond identifying the buyer to determining which generation, storage and trading activities would be combined under control.
Wholesale trading overlap linked to thermal generation
Nomad Capital Group is already active in liberalised wholesale electricity trading. Control of a large thermal generation asset could create horizontal overlap in electricity trading and vertical links between generation and downstream sales.
The deeper review means the transaction faces a longer regulatory process. The investigation framework centres on how control would be exercised across generation, storage and trading activities once restructuring is completed.
