Update: E.ON in talks to sell Spanish assets

E.ON has reportedly begun talks aimed at selling its Spanish operations.

In a move aimed at cutting its $37bn debt, the German utility began inviting bids for its Spanish business in late October, with a deadline of 3 November.  This week Reuters reports that talks with Australian infrastructure investment firm Macquarie Group have begun.

Although neither firm has offered details or comment, an unnamed Reuters source put Macquarie's bid at "substantially more than" €2bn ($2.5bn). E.ON's Spanish business had previously been valued at between €2bn and €2.2bn.

Up for grabs are 2.9 GW of Spanish coal- and gas-fired power assets and 1.1 GW of renewable power capacity, as well as a 32,000 km power distribution network.

According to reports, the sale could be announced as early as this month.

E.ON is also looking to shed its assets in Italy, although a snag in the process has delayed the deadline for bids to late November.

Macquarie has recently begun buying European power plants, with a focus to date on the UK. The firm has also previously acquired a German gas pipeline network from E.ON, paying €3.2bn.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...