Earlier this year, the company wanted to divest its UK electricity distribution arm that distributes power to approximately 7.9 million homes. According to the company, this is in line with its plan to reduce its net financial debt by at least EUR5bn by the end of 2010.
Four buyers are believed to be interested in putting in first-round bids for the power distribution business. A consortium of the Canada Pension Plan and Abu Dhabi’s sovereign wealth fund ADIA, and Australian investment bank Macquarie Group is expected to be working on a joint GBP4bn bid for the asset.
In addition, Scottish and Southern Energy (SSE), which has teamed up with another Canadian pension fund Borealis, is said to be interested in the bidding process. Hong Kong-based Cheung Kong Infrastructure and National Grid have also shown their interest in the distribution network.
EDF Group financial advisors include Barclays Capital and Deutsche Bank London Branch with additional support from BNP Paribas.
