Spanish utility Iberdrola SA (IBE.MC) plans to invest EUR25 billion through 2010, seeking to gain scale and increase its presence abroad.
In a presentation filed with Spain's stock market regulator, Iberdrola also said that it targets annual net profit of above EUR3.5 billion in 2010, up from EUR2.35 billion in 2007, backed by 16% average growth in earnings per share.
Iberdrola, based in Bilbao, northern Spain, said that EUR6 billion of the planned investments will be earmarked for acquisitions. The rest will be spent on growing existing businesses.
The investments will be made in Spain, the U.S. and Canada, the U.K. and in Latin America, with a focus on renewable energy, networks and on generation, Iberdrola said.
Iberdrola, Spain's biggest utility by market capitalization, added that it plans to maintain its current dividend policy.