By Jaime Llinares Taboada
SSE PLC said Tuesday that it has agreed to sell its 50% stake in the Ferrybridge and Skelton Grange energy-from-waste joint venture projects for 995 million pounds ($1.30 billion) to an infrastructure fund managed by First Sentier Investors.
The FTSE 100 energy company said that the transaction, which is expected to complete by late 2020, is part of its strategy to secure at least GBP2 billion from disposals of non-core assets by autumn 2021. SSE has now delivered GBP1.4 billion out of the GBP2 billion target, Finance Director Gregor Alexander noted.
"The proceeds of these disposals will support the company's plans to invest GBP7.5 billion in low-carbon energy infrastructure over the next five years, helping the U.K. to reach net-zero carbon emissions, as well as reduce SSE's net debt," SSE said.
Ferrybridge and Skelton Grange are joint ventures between SSE and Wheelabrator Technologies Inc. Ferrybridge entered commercial operation in 2019, and Skelton Grange was due to reach financial close next year. The assets, located in West Yorkshire, U.K., were identified by SSE as an early priority for sale as part of its disposal strategy.
Write to Jaime Llinares Taboada at email@example.com; @JaimeLlinaresT
(END) Dow Jones Newswires