Bidders in line for Fortum's Swedish 2,400 km power grid
Finland’s state-controlled utility company Fortum is selling its Swedish 2,400 km power grid and several funds are lining up to bid for the assets.
Fortum has plans to sell its Swedish power grid for a total consideration of €6 billion (US$7.47 billion).
The deadline to bid for the assets was mid December. According to sources, bidders include:
- Borealis Infrastructure,
- Australia’s Macquarie, and
- Cheung Kong Infrastructure Holdings (CKI).
Fortum, through this transaction, aims to cut debt and to focus on power generation and renewable energy.
Fortum Oyj is a Finnish energy company focusing on the Nordic and Baltic countries, Poland and Russia. Fortum operates power plants, including co-generation plants, and generates and sells electricity, heat and steam. In addition, it has stakes in gas companies Gasum in Finland and Eesti Gaasin Estonia.
In December 20013 Fortum sold its Finnish grid to a consortium of investors led by First State Investments and Borealis Infrastructure for €2.55 billion (US$3.2 billion).
During the last four months we have reported about four other energy M&A deals in Sweden:
