Portfolio

3i Infrastructure to sell stake in Finnish power company Elenia

By Michele Maatouk

Date: Wednesday 13 Dec 2017

3i Infrastructure to sell stake in Finnish power company Elenia

(ShareCast News) - 3i Infrastructure has agreed to sell its stake in Finnish power company Elenia and a complementary district heating business to a consortium comprising Allianz Capital Partners, Macquarie Infrastructure and the State Pension Fund of Finland.
The sale of the investment will generate estimated gross proceeds of around £725m for 3i compared to a valuation of £498m at 30 September. Completion of the transaction is subject to EU merger regulation approval and is expected before the end of 3i's financial year.

Phil White, managing partner and head of infrastructure at 3i Investments, said: "We are proud of Elenia's achievements in our period of ownership, supported by our engaged asset management approach and in partnership with management and our co-investors. The business has performed exceptionally well during that time and we would like to thank Tapani Liuhala and his management team for their commitment. We are confident that under their strong leadership Elenia will continue to thrive."

Elenia's electricity distribution network is around 69,000 km in length and serves approximately 420,000 residential, industrial and business customers, with a market share of approximately 12%. Elenia Heat owns and operates 16 local district heating networks across Finland with a total network length of almost 500 km serving around 85,000 end users.

At 1510 GMT, the shares were up 3.5% to 204.32p.

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