Funds circle bidding for Swedish 6 billion 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)
This year we have reported about four other infrastructure M&A deals in Sweden:
Country news
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March 10, 2015
Goldman, 3i and Borealis bid for Swedish electricity grid owned by Fortum
Two consortia are biding for the Swedish electricity grid of Finnish utility Fortum, ahead of the deadline (11 March 2015). Read more -
March 16, 2015
Borealis Infrastructure announces acquisition of Fortum Distribution AB
A consortium led by Borealis Infrastructure Management Inc, has acquired 100% of the shares of Fortum Distribution AB, Fortum's electricity distribution networks in Sweden. Read more -
April 30, 2015
EQT Partners to raise Infrastructure Fund
Swedish private equity group EQT Partners AB has plans to raise a new multibillion euro infrastructure fund, which would be the first infrastructure fund for the firm after EQT Infrastructure I and II. Read more -
June 09, 2015
Sweden to boost infrastructure investments
According to Sweden's Infrastructure Minister, Anna Johansson, the government has plans to seek private investment to develop high-speed railways among other infrastructure projects. Read more -
June 15, 2015
Infranode appoints former Swedish Minister as Senior Advisor
Infranode has announced the appointment of Mr. Allan Larsson to its Senior Advisory Team, where he is already a member since 2014. Read more
