Engie has announced its agreement to acquire UK Power Networks for £10.5 billion, marking a significant step in the company's growth strategy in energy transition.
Engie, a French utility firm, has declared its plan to acquire UK Power Networks (UKPN) for £10.5 billion, enhancing its presence in the electricity distribution sector in the UK. This deal includes the ownership of a vast network of power lines spanning about 192,000 kilometers, which serves around 8.5 million customers across London and the southeastern and eastern regions of England. The acquisition will be made from a Hong Kong conglomerate, owned by billionaire Li Ka-shing, which has held UKPN for the past 15 years.
Catherine MacGregor, the CEO of Engie, highlighted that this acquisition is crucial for the company's strategic priorities and vision to become a leading utility in energy transition. By expanding its role in electricity networks, Engie aims to solidify its position and push forward its growth initiatives, reflecting a trend towards renewable and sustainable energy solutions in the sector.
The acquisition of UK Power Networks is indicative of the growing international interest in UK energy assets, especially as the UK government emphasizes the importance of energy transition and sustainability. This move could influence the energy market in the UK, aligning Engie with national goals of reducing carbon footprints while expanding its operational footprint in one of Europe's most dynamic energy markets.
