By Jaime Llinares Taboada
SSE PLC said Monday that it has agreed to sell its remaining 33.3% stake in gas-distribution company Scotia Gas Networks Ltd. to a consortium for 1.22 billion pounds ($1.70 billion).
The U.K. energy company said the consortium comprises Ontario Teachers' Pension Plan Board, which is an existing SGN shareholder, and Brookfield Super-Core Infrastructure Partners. The consortium has also agreed to acquire a 16.7% interest in SGN owned by the Abu Dhabi Investment Authority.
The deal will conclude its disposals program with total proceeds of more than GBP2.7 billion, SSE said. "We see significant growth opportunities in our core networks and renewables businesses in the transition to net zero and the capital we are releasing through our disposals program will help enable us to maximize the delivery of our low-carbon electricity orientated strategy," Finance Director Gregor Alexander said.
SGN owns Scotland Gas Networks PLC and Southern Gas Networks PLC--two of England, Wales and Scotland's eight gas distribution networks--and a business which provides gas to customers in Northern Ireland. The transaction is expected to complete within the current financial year.
Write to Jaime Llinares Taboada at firstname.lastname@example.org; @JaimeLlinaresT
(END) Dow Jones Newswires